(NewsNation) — As Americans proceed to grapple with rising surviving costs, choosing the close clip to assertion Social Security benefits has ne'er been much important.

Social Security status benefits are calculated based connected however agelong you worked, however overmuch you made and erstwhile you started collecting. Those who assertion astatine the earliest status age, 62, person a reduced monthly payment, portion those who hold until 70 spot a bump.

Data from the Social Security Administration shows most radical assertion benefits earlier their afloat status property but experts accidental that determination depends connected respective factors similar a person's health, fiscal situation, and marital status.

"There is nary cleanable age, it is precise circumstantial to each individual, mates and family," said Martha Shedden, president and co-founder of the National Association of Registered Social Security Analysts.

Here's what to see arsenic you deliberation astir the close clip to cod Social Security.

When tin I person my afloat status benefit?

To person 100% of the payment you're entitled to, you'll person to hold until your full status age. That property varies depending connected the twelvemonth you were born.

For those calved earlier 1954, the afloat status property is 66, past gradually rises for radical calved betwixt 1955 and 1960. Anyone calved successful 1960 oregon aboriginal tin person their afloat benefits astatine 67.

How overmuch Social Security volition I get if I assertion early?

You tin commencement collecting Social Security payment arsenic aboriginal arsenic 62, but that comes astatine a price. Those who assertion earlier their afloat status property person their monthly benefits permanently reduced based connected however aboriginal they retire.

For example, let's accidental a person's afloat status property is 67. They tin commencement receiving benefits astatine 62 — 5 years aboriginal — but they would spot their monthly cheque lowered by roughly 30%. That means a $1,000 payment would beryllium chopped to $700.

Spousal benefits also get reduced erstwhile a idiosyncratic claims Social Security early.

According to data from the Social Security Administration, the mean monthly status payment for 62-year-olds was $1,275 successful December 2022. By comparison, 67-year-old retirees received $1,844 per period connected average, astir $7,000 a twelvemonth more.

You tin usage the Social Security Administration's calculator to get a wide thought of your monthly payments based connected your property and earnings.

What if I hold taking my Social Security benefits?

Those who hold until aft their afloat status property to commencement collecting benefits person a boost based connected however agelong they delay. The summation is called a delayed status credit and amounts to an 8% bump each twelvemonth a idiosyncratic waits to assertion betwixt afloat status property and 70.

For example, idiosyncratic eligible for afloat status astatine 67 would person an 8% bump each twelvemonth they hold to cod until they crook 70. That means you tin gain up to 124% of your afloat payment by waiting until you’re 70.

A 70-year-old retiring this twelvemonth tin person a maximum of $4,873 a month, portion idiosyncratic astatine their afloat status property tin cod a maximum of $3,822 monthly. That works retired to implicit $12,600 much annually.

The mean monthly status payment for 70-year-olds was $1,963 successful December 2022.

What does probe accidental astir the champion property to assertion Social Security?

Research suggests it's mostly amended to hold to cod benefits, adjacent though astir Americans proceed to assertion aboriginal astatine 62.

A 2019 study commissioned by United Income estimated that older Americans suffer a full of
$3.4 trillion successful imaginable income due to the fact that of aboriginal claiming. That works retired to a beingness nonaccomplishment of $111,000 per household.

The investigation recovered lone 4% of retirees marque the "financially optimal decision" to assertion astatine 70 and astir 57% of retirees would physique much wealthiness if they waited until then.

The study concluded that "nearly nary retirees are making the financially optimal determination astir Social Security" and estimated that aged poorness could beryllium chopped by 50% if each retirees claimed status benefits astatine the perfect time.

What factors should you see erstwhile taking Social Security?

While it's typically amended to hold if you tin spend it, the champion property to commencement collecting varies from idiosyncratic to idiosyncratic and depends connected respective variables similar health, marital presumption and different status savings.

When it makes consciousness to assertion aboriginal astatine 62

For those who request the wealth arsenic soon arsenic possible, collecting status benefits aboriginal whitethorn beryllium the mode to go.

"It is often the champion prime for idiosyncratic to commencement astatine 62, particularly if they're nary longer capable to enactment and they person nary different fiscal resources," Shedden said.

Taking reduced monthly payments aboriginal could besides marque consciousness for idiosyncratic who doesn't expect to unrecorded to their afloat status age. Married couples with an property spread and insignificant children mightiness besides see collecting arsenic soon arsenic imaginable owed to spousal benefits.

Those who are inactive moving are amended disconnected waiting owed to Social Security's "earnings limit," which further reduces benefits if you marque implicit a definite amount.

When it makes consciousness to hold until 70

Those who privation to support moving and tin spend to hold are often amended disconnected delaying their benefits.

By waiting, you gain further benefits for yourself but besides supply much enactment to anyone claiming status or survivors benefits based connected your career, similar a spouse oregon insignificant child.

"For couples, it's precise important to person astatine slightest the higher earner value until 70 to claim, if possible," Shedden said.

She added that it's besides important for radical to see "longevity risk," the anticipation that they'll outlive their money.

"We promote our clients to usage their maximum property of life, due to the fact that they mightiness not dice arsenic aboriginal arsenic they deliberation they're going to," she said.

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Can I alteration my caput astir claiming Social Security benefits?

You tin cancel oregon withdraw your Social Security exertion up to 12 months aft getting approved if you alteration your caput and determine you'd alternatively wait.

If you cancel aft you statesman receiving benefits, past you person to wage the wealth back. However, you won't wage involvement and you won't beryllium permanently locked successful astatine immoderate reduced payment you were antecedently acceptable to collect.

Those who person reached their afloat status property tin besides suspend their benefits and gain delayed status credits for each period their benefits are paused. At 70, the Social Security Administration volition restart your payouts astatine the higher amount. You tin besides take to reinstate payments earlier if you prefer.