Early Social Security Claims Gain Traction in 2025 Low-Return Environment
Retirees are rethinking delaying Social Security to age 70 amid bond yields near 4% and volatile equities. Actuarial models favor early claims at 62 for those with modest savings to preserve capital against low investment returns.
Source: AInvest ·
Grace's Take
Many retirees are reconsidering waiting until age 70 to claim Social Security benefits, as investments aren’t expected to grow much in the next few years. For those nearing retirement with limited savings, taking Social Security at age 62 can help avoid dipping into their investments during this uncertain market. Remember, it’s important to look at your health and financial needs when deciding the best time to claim—and you're not alone in navigating these choices!
- •Break-even points shift to favor early claims with 6-8% discount rates
- •Schwab projects U.S. bond returns at 4.9% over next decade
- •Personalized strategy balances health and income needs
Near-retirees can claim early to lock in guaranteed income, reducing reliance on underperforming portfolios and protecting against running out of money in low-yield markets.