AARP recently launched its Social Security Benefits Calculator, a planning resource to help Americans decide when to claim benefits and to assist them in preparing for retirement.
Many people question when they should claim Social Security benefits.
Amazingly, more than half of those claiming retirement benefits in 2009 elected to receive benefits as soon as they became eligible at age 62. However, such a decision comes at a cost of lower monthly benefits – as much as 8 percent lower for each year before full retirement age.
If an individual is approved for Social Security disability benefits between age 62 and 66, however, then the claimant may receive full disability benefits to retirement age, and then full retirement benefits at full retirement age.
The new AARP Social Security Benefits Calculator may be found at www.aarp.org/socialsecuritybenefits.