Retirement

Your Social Security Roadmap

First decision point. Question: Are you still working? Two paths follow. Path 1: Yes leads to: You might be subject to the earnings test, and that may influence your decision on when to begin benefits. The decision ends here. Path 2: No leads to: OK, let's move on to the next question. There are two quick facts off to each side. Quick fact one: benefits got a 2.5% cost of living adjustment for 2025. Quick fact two: the earnings test only applies if you haven't yet reached full retirement age.

Second decision point. Question: Do you have other sources of income to rely on? Two paths follow. Path 1: Yes leads to: Let's take a further look, with an arrow pointing to the next question. Path 2: No leads to: Remember, you can start taking benefits as early as age 62. The decision ends here. Quick fact number three is on the right side: Claiming early means a smaller benefit. On the left is the section, How Your Benefit Changes, which includes three key points: At 62, you'll get 30% less than your full benefit. At Full Retirement Age, you get 100% of your benefit. At 70, you'll see a 24% boost to your benefit.

Third decision point. Question: Do you think you'll live beyond 81? We know, crystal balls are hard to come by! Two paths follow. Path 1: Yes leads to: Family history and longevity are factors to consider when drawing benefits. The decision ends here. Path 2: No leads to: Okay, let's look at one more factor. The last quick fact, number four, is on the right side: full Retirement Age is 67 if you were born in 1960 or later.

Final decision point. Question: How about living past 77? What's your gut feeling? Two paths follow. Path 1: Yes leads to: For some, living past 77 is a consideration when starting benefits at full retirement age. The decision ends here. Path 2: No leads to: In this case, you might consider claiming as early as age 62.

The header reads: How Your Benefit Changes. Three key points: At 62, you'll get 30% less than your full benefit. At Full Retirement Age, you get 100% of your benefit. At 70, you'll see a 24% boost to your benefit. Followed by note: Remember, this is just a guide. Your situation is unique, and this guide is designed to help you start the decision process. Below this, you'll find the Quick Facts section. Header: Quick Facts to Keep in Mind about Social Security. There are five bullet points, listed in this order: Benefits got a 2.5% cost of living adjustment for 2025. The Earnings Test only applies if you haven't yet reached Full Retirement Age. Claiming early means a smaller benefit. Waiting means a bigger benefit. Full Retirement Age is 67 if you were born in 1960 or later.

The last image is two disclaimer messages in a light blue box. The first message states: Remember, this is just a guide; your situation is unique, and this guide is designed to help you start the decision process. The second message are sources: 1. EBRI.org, June 25, 2024 and 2. SSA.gov, January 2024. The third message in italics states: This material is designed to provide high-level, educational information about Social Security; it is not intended to provide specific advice; the Social Security Administration has representatives and resource material available if you have specific questions.

Have A Question About This Topic?

Related Content

Fallen Tree Damage—Who Pays?

Your liability for damages that occur when a tree on your property falls on your neighbor’s property is not clear cut.

Your Shifting Risk Tolerance

Time and market performance may subtly and slowly imbalance your portfolio.

Key Money Moments: 4 Times You Should Talk to a Pro

Life happens fast, and your finances can take a backseat if you’re not careful. Is it time to check in with a financial professional? This infographic will help you examine your own financial situation and decide if it’s time to step up your financial game.