Social Security at 62

I've lost two friends from this disease since I heard the words, "You have cancer". Both were in the age range where this information was relevant.

I applied for Social Security today. Taking it early, I get 75% of what I would have gotten had I waited until I was 66. Yep, 66, not 65. The age is being raised.

If I was going to get $1,000 a month, I'll get $750. In 4 years, I would collect $36,000. When I'm 66, I will get $250 less every month. $250 a month takes 144 months (12 years) to reach $36,000. I would be 78 before my total receipts from Social Security would be the same whether I had taken the smaller amount earlier or the larger amount later. That's not calculating the difference in value between receiving money today as opposed to receiving it later.

Financial advisers recommend taking SS early even if it's not needed. Invest it. There's an option at age 70 where you can change your mind and reapply for the monthly amount you'd get if you had waited that long to apply. You have to pay back the money you've already received, but there's no interest charged.

So, invest the money you get from 62 to 70 if you don't need it. Pay it back at 70 and keep the interest you've earned on it. Then you get the monthly payment you would have gotten had you waited until 70 to apply for SS.

An interesting link I found on the Social Security website was "Instructions For The Blind".