Retirees collected their third Social Security benefit this month.
There is an age rule that could boost yours by $800.
What is the age rule?
Americans who get Social Security benefits will see a 5.9% increase in their yearly payment during 2022. Payments are rising because of the increased COLA and rising inflation rates. Read more about it here.
If you’re thinking about retiring this year, you might want to consider waiting a few more.
One of the most important factors in determining your Social Security benefit is timing. The earliest you can access your benefit is 62 and the latest is 70.
The earlier you tap into your benefits, the less you’ll get overall. The longer you wait, the more money you’ll get.
When you reach your full retirement age (FRA), your credits begin to accumulate. Each month from your FRA until age 70 that you postpone your benefits, they increase. It ends up being about an 8% increase for each year you wait.
If your FRA is 67, but wait until you are 70 to claim, you’ll get an extra 24% on your benefit. If the average payment is $1,500, and you retire at 62, your check would be reduced to $1,050.
Waiting until 70 would increase your check to about $1,888 a month.