One of the most critical decisions you can make regarding your retirement is when to start taking your Social Security benefits. There are pros and cons to taking Social Security benefits at your earliest opportunity and delaying them until or even beyond your full retirement age.

Taking benefits at your earliest opportunity

• Pro: Earnings after your earliest opportunity can still increase your Social Security retirement benefit if they replace $0 or low-earnings years

• • But only if they are in one of your top 35 years of earnings

• Con: If you take Social Security early AND continue to work, your benefits COULD be reduced – $1 of benefits withheld for every $2 over the annual limit

• • But withheld amounts will be added back to your benefit calculation at full retirement age

Delaying benefits

• Pro: Your benefits could increase, based on your birth date and the number of months you delay the start of your retirement benefits

• • But your benefits stop increasing at age 70, whether you’ve started receiving them or not

• Con: As you age, energy and health issues may prevent you from enjoying the additional money you delayed receiving

• • But delaying can leave you with more resources later to face expected and unexpected medical expenses

Our team of experts at Philadelphia Financial Consultants can provide a thorough review of your options and help you decide the best approach to maximize your Social Security benefits.