When to Claim, How to Coordinate, and What 40 Years Have Taught Me
October is Financial Planning Month, and I can’t think of a better time to talk about one of the biggest retirement decisions you’ll ever make: maximizing your Social Security benefits. I’m Marcel Lashover, and in 40 years of helping families plan for retirement, I’ve watched this one choice — when to claim — ripple through people’s finances for decades.
Claim without a plan, and you may lock in a smaller check for life. Wait without a strategy, and you could strain your savings. The good news? A little knowledge goes a long way, and that’s what this guide is for.
One quick note before we dive in: One Stop Financial Group is an independent agency. We are not affiliated with, endorsed by, or acting on behalf of the Social Security Administration or any government agency. For your official benefit estimate, create a free my Social Security account at ssa.gov.
Why Your Social Security Benefits Matter More Than You Think
I grew up watching my mother raise two children on about $300 a month after my father passed. She taught me that when income is fixed, every dollar and every decision counts. That lesson is exactly why I take Social Security timing so seriously with the families I serve.
Here’s the reality check. The U.S. Department of Labor estimates you’ll need 70 to 90 percent of your pre-retirement income to maintain your standard of living, yet Social Security retirement benefits replace about 40 percent of pre-retirement income for the average retiree.[1] The Social Security Administration’s own figures show that the replacement rate ranges from roughly 78% for low earners to about 28% for high earners at age 67.[2]
In other words, Social Security is the foundation of your retirement house — not the whole house. That makes getting the most out of it even more important.
Know Your Full Retirement Age Before You Decide
Every Social Security claiming strategy starts with one number: your full retirement age (FRA). That’s the age when you can receive 100% of the benefit you’ve earned.
- If you were born from 1943 to 1954, your FRA is 66.[2]
- It rises gradually for those born from 1955 to 1959.[2]
- If you were born in 1960 or later, your FRA is 67.[3]
Your FRA is the benchmark. Claim before it and your monthly check shrinks. Claim after it and your check grows.
When to Claim Social Security: 62, 67, or 70?
You can start Social Security benefits as early as 62 or as late as 70. Here’s how that plays out for someone born in 1960 or later:
Claiming Early at Age 62
At 62, you receive about 70% of your full benefit — roughly a 30% reduction — and that reduction is permanent. Early claiming can make sense if you need the income, have health concerns, or have a shorter life expectancy. But it’s a decision you’ll live with for the rest of your life.
Claiming at Full Retirement Age (67)
At FRA, you receive 100% of your earned benefit. You can also work without the Social Security earnings test reducing your check (more on that below).[5]
Delaying Until Age 70
For every full year you wait past FRA, Social Security adds 8% to your benefit through delayed retirement credits. Those credits stop at age 70.[4] Wait until 70, and you’ll receive 124% of your full benefit.[6]
| 📌 The timing math, stated plainly: For someone born in 1960 or later, a benefit claimed at 70 (124% of full) is roughly 77% larger each month than the same benefit claimed at 62 (70% of full). That’s a comparison of monthly checks based on SSA’s published percentages.[3][6] Whether waiting produces more total lifetime income depends on how long you live, which is why no one can promise a lifetime result. The SSA’s Life Expectancy Calculator is a helpful starting point.[7] |
One important reminder from the SSA: even if you delay Social Security, sign up for Medicare at 65 so your coverage isn’t delayed or more costly.[4]
Social Security Claiming Strategies for Married Couples
If you’re married, your claiming decision isn’t only about you. It’s a household decision, and it can affect your spouse for decades.
Spousal Benefits
A spouse can receive up to half of the retired worker’s full benefit if the spouse claims at his or her own full retirement age. Claim earlier, and that spousal benefit is reduced.[2]
Survivor Benefits
This is the one I spend the most time on with couples. A surviving spouse at full retirement age can receive up to 100% of the deceased spouse’s benefit. Claimed earlier, survivor payments start at 71.5% of that benefit.[8]
Why does that matter? Because the higher earner’s claiming age helps set the size of the check the surviving spouse may keep for life. When one spouse passes, the household goes from two checks to one. I’ve sat at kitchen tables across New Orleans with widows and widowers facing that exact drop. It’s one reason I talk with couples about how life insurance can help replace income that disappears when a spouse dies.
Working While Collecting: The Social Security Earnings Test
Planning to work part-time in early retirement? Know the 2026 earnings test rules:[5][9]
- Under full retirement age all year: SSA deducts $1 from benefits for every $2 you earn above $24,480.
- In the year you reach full retirement age: SSA deducts $1 for every $3 you earn above $65,160, counting only earnings before the month you reach FRA.
- At or after full retirement age: No earnings limit applies.
Benefits withheld under the earnings test aren’t simply lost. Once you reach FRA, SSA recalculates your benefit to credit the months when benefits were withheld.[5] Still, if you plan to keep working, claiming early often doesn’t deliver what people expect.
Taxes and COLAs: Two Social Security Details People Overlook
- Taxes: About 40% of people who get Social Security pay income tax on their benefits, depending on their combined income.[2] How you draw from your other accounts can influence that.
- Cost-of-living adjustments: Beneficiaries received a 2.8% COLA for 2026.[9] The 2027 COLA is expected to be announced in October, so watch ssa.gov for the official figure.
This is where coordinating Social Security with tax-favored retirement strategies can make a real difference. Always confirm tax questions with a qualified tax professional.
Common Social Security Mistakes I See Again and Again
After four decades of reviewing retirement plans, the same missteps keep showing up. Watch out for these:
- Claiming at 62 by default because “everyone does” or out of worry the program will run dry, without running the numbers first.
- Ignoring the survivor impact of the higher earner’s claiming age.
- Forgetting the earnings test when claiming early while still working.
- Never checking the earnings record until a mistake is years old and harder to fix.
- Deciding in isolation, without looking at how Social Security benefits fit with pensions, savings, and annuity income.
None of these mistakes is hard to avoid. They simply require a plan made ahead of time, not a last-minute decision.
How to Maximize Social Security Benefits: My 6-Step Checklist
- Check your earnings record. Log in to my Social Security and make sure every year of earnings is correct. Your benefit is built on that record.
- Confirm your full retirement age. It’s your benchmark for every decision.
- Be honest about longevity. Consider your health and family history, and try the SSA Life Expectancy Calculator.[7]
- Coordinate with your spouse. Look at spousal and survivor benefits together, not separately.
- Build a bridge. If delaying makes sense, decide which income covers the gap — savings, a pension, an annuity, or CD alternative options such as multi-year guaranteed annuities.
- Review every year. Health, work, and family situations change. Your plan should, too.
Social Security Planning Is One Piece of Your Retirement Income Plan
Maximizing Social Security benefits works best when it’s coordinated with everything else: pensions, retirement accounts, annuity income, and even long-term care planning.
Let’s Build Your Social Security Strategy Together
You worked hard for your Social Security benefits. You deserve a clear plan for collecting them. As an independent agent and Registered Financial Consultant (RFC®), I work for you, not for any one company.
Our Social Security planning consultations are cost-free, stress-free, and hassle-free. Call (504) 300-8207 or schedule your consultation today. One Stop Financial Group proudly serves clients in Louisiana, Alabama, Florida, Georgia, Mississippi, Oklahoma, Texas, and Virginia.
Sources
- U.S. Department of Labor, EBSA — Top 10 Ways to Prepare for Retirement
- Social Security Administration — Retirement Benefits (2026), Pub. No. 05-10035
- Social Security Administration — Benefits Planner: Born in 1960 or Later
- Social Security Administration — Benefits Planner: Delayed Retirement Credits
- Social Security Administration — Benefits Planner: Receiving Benefits While Working
- Social Security Administration — Delayed Retirement: Born in 1960
- Social Security Administration — Life Expectancy Calculator
- Social Security Administration — What You Could Get from Survivor Benefits
- Social Security Administration — 2026 Cost-of-Living Adjustment (COLA) Fact Sheet
