Planning Walkthrough

Social Security Optimization

Find your optimal claiming age. See cumulative benefit comparisons from 62 to 70, and feed the result directly into your Monte Carlo projection.

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Overview

How Social Security Benefits Work

Your Social Security benefit is based on your 35 highest-earning years. You can start claiming as early as age 62 (at a reduced amount) or delay up to age 70 (at an increased amount). Each year you delay past your Full Retirement Age (FRA) adds roughly 8% to your monthly benefit.

The trade-off: claim early and get more years of payments, or delay and get larger payments for fewer years. The “break-even” point is typically around 80–82 — if you live past that, delaying usually wins.

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Trade-offs

Claiming Age Trade-offs

Age 62 (Earliest)

Permanently reduced benefit — roughly 70% of your FRA amount. Makes sense if you need the income, have health concerns, or have other investments that can grow while SS covers basic expenses.

Full Retirement Age (66–67)

100% of your calculated benefit. No reduction, no bonus. The “default” option for most people.

Age 70 (Maximum)

~124%–132% of your FRA amount (depending on birth year). Best for healthy retirees with other income to bridge the gap. Every year of delay beyond FRA adds approximately 8%.

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Step by Step

Using the Social Security Tool

1. Navigate to the Tool

Go to Intelligence → Planning → Social Security.

2. Enter Your Details

Provide your current age, Full Retirement Age benefit (from your SSA statement), and life expectancy estimate.

  • Find your FRA benefit at ssa.gov/myaccount
  • Life expectancy defaults to 90 — adjust based on health and family history

3. Compare Claiming Ages

The chart shows cumulative lifetime benefits for ages 62 through 70. The tool highlights the optimal age based on your inputs.

  • Hover over the chart to see exact dollar amounts at each age
  • The “advantage” card shows how much more you gain vs. claiming at 62

4. Use Results in Monte Carlo

Click “Use These Results in Monte Carlo” to pre-fill your projection with the optimal claiming age and monthly benefit. This connects your SS decision directly to your retirement probability model.

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Pro Tips

Pro Tips

  • Spousal strategy: If married, consider having the higher earner delay to 70 for the maximum benefit, while the lower earner claims earlier. The surviving spouse inherits the higher benefit.
  • Tax implications: Up to 85% of Social Security benefits are taxable depending on your combined income. Delaying SS while doing Roth conversions in the gap years can reduce lifetime taxes on both fronts.
  • Combine with Monte Carlo: After finding your optimal age, use the “Use in MC” link to see how different claiming strategies affect your overall retirement success probability.

Find your optimal claiming age

See how delaying or claiming early affects your lifetime benefits.