72 MARCH-APRIL 2026 | THE FOREIGN SERVICE JOURNAL RETIREMENT SUPPLEMENT When to Apply for Social Security FROM AFSA’S ONE-STOP RETIREMENT SERVICES WEBPAGE One of the most important financial decisions facing American retirees is when to start receiving Social Security benefits. You can apply anytime between age 62 and 70. For every month you wait after your 62nd birthday, your monthly payment rises but you permanently forgo the skipped payments. So, what is the best age to start? … Here are factors to consider. Are you still working? If you are earning significant income from a job or self-employment and you have not yet reached your full Social Security age (age 67 for everyone born after 1959), then you probably do not want to start Social Security yet because the earn- ings test before that age [in 2025] reduces Social Sec- urity benefits by $1 for every $2 in earned income over $23,400 a year. … What is your life expectancy? For every month you wait to start Social Security, your payment rises at an annual rate of 6 to 8 percent. That makes waiting to apply a relatively good investment, but only if you live long enough for the total value of the added monthly benefit to exceed the monthly payments that you skipped. … When do you need the money? If you are either financially strapped or just want to increase spending on things like travel while you know you are in good health, you may want to start Social Security early despite the downside of locking in a lower monthly payment for life. On the other hand, consider if you might need that higher monthly payment in late retirement to cover long-term care costs … e The above is excerpted from AFSA’s Retirement Services page at https://afsa.org/retirement, containing more than 100 documents and links with useful information. AFSA Counselor for Alumni and Retirees Brian Himmelsteib is available to help AFSA members with retirement-related questions. If you hit bureaucratic snags with your retirement benefits or just do not know how to get a particular matter resolved, contact Brian at himmelsteib@afsa.org.
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