The common definition of early retirement is any age before 65—that’s when you qualify for Medicare benefits. Currently, men retire at an average age of 64, while for women the average retirement age is 62.

How much will your Social Security check be reduced if you retire early at age 62?

A worker can choose to retire as early as age 62, but doing so may result in a reduction of as much as 30 percent. Starting to receive benefits after normal retirement age may result in larger benefits. With delayed retirement credits, a person can receive his or her largest benefit by retiring at age 70.

Can I retire at 62 but delay Social Security?

If you claim Social Security at age 62, rather than wait until your full retirement age (FRA), you can expect up to a 30% reduction in monthly benefits. For every year you delay claiming Social Security past your FRA up to age 70, you get an 8% increase in your benefit.

What is the maximum number of reduction months for early retirement?

For example, if the number of reduction months is 60 (the maximum number for retirement at 62 when normal retirement age is 67), then the benefit is reduced by 30 percent. This maximum reduction is calculated as 36 months times 5/9 of 1 percent plus24 months times 5/12 of 1 percent. Delayed retirement increases benefits

Is there a reduction in Social Security benefits at age 62?

A worker can choose to retire as early as age 62, but doing so may result in a reduction of as much as 30 percent. Starting to receive benefits after normal retirement age may result in larger benefits. With delayed retirement credits, a person can receive his or her largest benefit by retiring at age 70. Early retirement reduces benefits

Is there a limit to how many months you can retire at 62?

For example, if the number of reduction months is 60 (the maximum number for retirement at 62 when normal retirement age is 67), then the benefit is reduced by 30 percent. This maximum reduction is calculated as 36 months times 5/9 of 1 percent plus 24 months times 5/12 of 1 percent.

What are the challenges of choosing an early retirement age?

Challenges of an Early Retirement Age. The primary challenge in choosing an early retirement age is making sure you have enough assets to provide an acceptable level of income for your future. Someone who retires at 55 may need their savings to last 35 to 45 years in retirement.