Personal Finance

I'm 70 and I Still Haven't Taken Social Security. Should I Continue to Wait?

Maurie Backman

Published: December 9, 2024 5:07 pm

Key Points from 24/7 Wall St.

• Delaying Social Security past full retirement age results in boosted benefits.
• There’s no sense in waiting to file beyond the age of 70.
• Waiting too long to claim Social Security could result in a loss of income.
• Also: Take this quiz to see if you’re on track to retire^(Sponsored)

The decision to sign up for Social Security is an important one, namely because it will determine how large a monthly check the program writes you. On a basic level, the monthly benefit you’re entitled to in retirement will hinge on your lifetime wages. Beyond that, your filing age plays a role in your actual monthly payments.

You’re eligible for your monthly Social Security benefit without a reduction at full retirement age, or FRA. For folks born in 1960 or later, FRA is 67. If you were born before 1960, you can consult the Social Security Administration’s website for your specific FRA.

That said, your monthly benefits are available to you starting at age 62, albeit at a reduced level. And on the flipside, you can delay your claim past FRA for a boosted monthly benefit.

But there comes a point when it no longer pays to delay a Social Security claim. And if you’re 70 years old and haven’t signed up for benefits, guess what? You’ve gotten to that point already.

Don’t delay benefits past age 70

Delaying Social Security past FRA could work to your advantage. For each year you hold off on claiming benefits beyond that point, they’re boosted by 8%. Given that the median retirement savings balance among 64- to 74-year-olds was only $200,000 as of 2022, per the Federal Reserve, many older Americans could use a guaranteed boost to their monthly benefits.

But the delayed retirement credits you accumulate for waiting on Social Security run out at age 70. For this reason, 70 is usually called the “final” or “latest” age to sign up for Social Security, even though you can technically keep delaying your claim.

However, if you’ve reached the age of 70, you absolutely don’t want to delay Social Security any longer. Doing so could cause you to miss out on retirement income for no good reason.

What if you’re already late in signing up?

If you just turned 70 last month, or even a few months ago, there’s no need to panic if you haven’t yet claimed Social Security. Social Security will pay up to six months of retroactive benefits in a situation where you waited too long to sign up. So if you’re 70 and 1/2 and realize you’re late in claiming your benefits, you can get a lump sum payment from Social Security dating back to your 70th birthday.

However, if you’re already 70, you’re gaining nothing by delaying Social Security any longer. So your best bet is to file for benefits immediately.

Another thing it pays to do if you’re in this situation is read up on Social Security’s rules. And yes, there are a lot of them. But knowing what pitfalls to avoid could help you make the most of your retirement benefits and avoid financial issues that could potentially arise from a lack of information.