Are there ad­van­tages to wait­ing longer?

The Week (US) - - News 17 -

Ab­so­lutely. Ev­ery year you wait past your full re­tire­ment age re­sults in an­nual in­creases of up to 8 per­cent in pay­ments. For those born in 1956, who will turn 62 this year, full re­tire­ment age comes at age 66 and four months, when they would re­ceive 100 per­cent of value. If they waited a year longer than that to file, their monthly pay­ments would be is­sued at 108 per­cent. And if they waited un­til age 70, their monthly pay­ments would be is­sued at 129.3 per­cent. The in­creases are capped at age 70, so there’s no ad­van­tage to wait­ing longer than that. Th­ese ad­van­tages are also be­ing pared back for fu­ture re­tirees. For those born in 1960, who will reach full re­tire­ment age at 67, wait­ing un­til 70 will re­sult in an in­crease only to 124 per­cent.

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