How do I calculate when it is most beneficial to take Social Security?

There is NO best age for everyone to take Social Security.  The most financially beneficial age to draw Social Security benefits is based on individual and family circumstances. 

Most individuals (if they have worked under Social Security for 40 quarters with substantial earnings) can start receiving Social Security benefits at age 62.  However, your full benefit is dependent on your year of birth.  Your full retirement age can be found on

Drawing Social Security benefits prior to reaching your full retirement age will result in a reduction of benefits, however you will be drawing the benefit for a longer period of time.  If you delay drawing Social Security to after your full retirement age, the benefit level will be larger however you will be drawing the benefit for less years.

Individuals can meet with their local Social Security Office to obtain specific information on their situation.

Individuals need to evaluate the following issues:

  • Current cash needs
  • Current health
  • Family longevity
  • Plan to work or not in retirement
  • Future financial needs
  • Future financial obligations

In addition to the impact on the amount of Social Security benefits, most individuals are required to enroll in Medicare at age 65.  If you are receiving Social Security benefit, under federal law, your Medicare Part B premium cannot increase more than the Social Security Cost of Living Adjustment.  However, if you are not in receipt of Social Security Benefits, there is no protection for the potential increase in Medicare Part B premium.