Why Claiming Social Security at 62 Could Be Your Biggest Retirement Mistake

The stats are brutal: 92% of people would have more money if they waited until 65 instead of claiming at 62. Even worse? Roughly 57% would be significantly better off if they held out until 70.

Here’s the math: claim at 62 and your benefits take a 30% haircut compared to waiting until your full retirement age of 67. But delay until 70? You get an 8% annual boost through delayed retirement credits—that’s a potential 24% increase overall.

Why the gap? Social Security calculates payouts based on your 35 highest-earning years. Most people earn more later in their careers, so waiting lets those bigger paychecks replace your smaller early-career earnings, pushing your baseline benefit higher.

But here’s the catch: Nearly 25% of Americans still claim at 62 anyway. Are they making a mistake? Not always. If you’ve got health issues, job loss at 62, or just need the cash now, the math shifts. Retirement isn’t just about maximizing numbers—it’s about your health, life expectancy, and what actually lets you sleep at night.

The real takeaway? 62 is the statistically worst age from a pure financial angle. But “statistically” and “financially” don’t tell your whole story. Run your own numbers based on your situation.