Claiming Social Security at Age 62 Results in Permanent 30% Benefit Reduction
Claiming Social Security benefits at age 62, the earliest eligibility age, results in a permanent 30% reduction in monthly payments. For an individual whose full retirement age (FRA) is 67, a $2,000 monthly benefit would be reduced to $1,400 for life. This reduction is not temporary; it forms the basis for all future payments, including any cost-of-living adjustments (COLAs). Furthermore, claiming early can also negatively impact a spouse's survivor benefit, as the survivor benefit is typically based on the deceased spouse's monthly check. If the higher earner claims early, their reduced benefit will lead to a smaller survivor benefit for their spouse.
