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December 02.2025

2 Minutes Read

Is Timing Everything? Exploring Social Security Claims and Financial Health for Retirement

Confident older woman smiling at formal event, Delaying Social Security Benefits until 70.

Understanding the Social Security Landscape

The decision of when to start receiving Social Security benefits is crucial. According to Suze Orman, a respected figure in financial planning, waiting until 70 can significantly enhance your monthly benefits. This strategy is particularly beneficial for those in good health who may live into their 80s or beyond. At age 62, individuals can start claiming benefits, but this action reduces their monthly payout by 25-30 percent compared to claiming at full retirement age or later.

The Impact of Timing on Your Financial Future

Many potential retirees are chasing immediate gratification, leading them to claim early rather than maximizing their benefits. Orman emphasizes that each year you delay claiming your Social Security will increase your monthly benefit by a guaranteed 8%. This figure dwarfs the returns available from traditional savings accounts. With significant numbers of people relying on Social Security as a major source of retirement income, the stakes in this decision are high.

Strategizing Your Retirement Income

For those considering delaying benefits, figuring out how to bridge financial gaps during the delay is vital. Orman suggests utilizing funds from retirement accounts like 401(k)s or IRAs, but advises that these withdrawals be kept minimal to allow the remaining investments to grow. Moreover, finding part-time work or reshaping a career in your 60s can also provide meaningful income while allowing your Social Security to mature.

Why It Matters: Real-Life Applications of Delaying Social Security

This advice is especially pertinent for single retirees and higher earners in dual-income households. By postponing Social Security claims, not only does the retiree benefit, but in the event of the higher earner’s passing, their surviving spouse receives a larger survivor benefit, ensuring greater financial stability in the later years of life.

Join the Financial Conversation

With so many considering when to claim Social Security, it’s essential to keep learning and adapting your strategies for financial security. Understanding the implications of early versus delayed claims can equip individuals to make informed choices crucial for their retirement financial health.

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Is Timing Everything? Exploring Social Security Claims and Financial Health for Retirement

Understanding the Social Security Landscape

The Impact of Timing on Your Financial Future

Strategizing Your Retirement Income

Why It Matters: Real-Life Applications of Delaying Social Security

Join the Financial Conversation

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