Turning 62 in 2020? 3 Things to Know
It's those even-numbered birthdays that tend to get all the attention -- 60, 70, and so forth. But actually, 62 could end up being a significant year for you, so if you'll be hitting that milestone in 2020, here are a few things you need to know.
If you worked and paid Social Security taxes on your income your entire life, here's some good news -- you can finally start collecting benefits, since 62 is the earliest age you're allowed to do so. It's also, incidentally, the most popular age to sign up for benefits.
But that doesn't mean filing at 62 is a good idea. You're only entitled to your full monthly benefit based on your earnings history upon reaching full retirement age. That age varies by year of birth, but if you're turning 62 in 2020 and were therefore born in 1958, your full retirement age is 66 and eight months. Filing for Social Security at 62, therefore, would reduce your monthly benefits by almost 30% on a lifelong basis, and that's a pretty big hit. Therefore, unless you really need the money, it could very much pay to wait.
Source Fool.com
