90% of Retirees Gain More by Claiming Social Security at 70 — Here's Why
By John Nada·Jul 19, 2026·4 min read
Delay claiming Social Security and gain a 24% boost in benefits. 90% of retirees benefit from waiting until 70.
When Social Security was introduced, it was envisioned as one leg of a three-legged stool, serving to support retirees alongside pensions and personal savings. This model provided a robust safety net for many Americans. However, in today's economic landscape, that stool is increasingly unstable. The median retirement account balance for individuals aged 65 is a mere $103,202, and only about 18% of workers currently have a pension. This paints a precarious picture for the future financial security of many retirees.
The diminishing role of pensions and insufficient savings have left many individuals reliant on Social Security as a primary source of retirement income. The problem is compounded by the fact that many retirees may not fully understand the financial implications of when they choose to start claiming their benefits.
Consider the case of Patrick, a hypothetical retiree. With a $100,000 pension and $1 million in investments, Patrick is contemplating retirement at age 67. A crucial decision he faces is whether to claim Social Security immediately or delay until age 70. The choice to delay does not preclude him from retiring; rather, it involves postponing his Social Security claim to maximize benefits.
Financial advisor Christopher Walsh from Capital Choice Financial Group highlights the advantages of waiting. Delaying Social Security benefits results in an 8% annual increase until age 70, culminating in a 24% increase over what the benefits would be at full retirement age. For Patrick, who was born in 1959, his full retirement age (FRA) is 66 years and 10 months, allowing him to gain slightly more than the standard 24% increase if he delays benefits until 70.
The benefits of delaying Social Security extend beyond just Patrick. By waiting, Patrick also enhances survivor benefits for his wife, securing a more stable financial future for both of them. This is because the delayed retirement credits not only increase Patrick's own benefits but also the benefits his spouse would receive in the event of his passing.
The broader trend shows that approximately 90% of retirees receive more lifetime benefits by claiming at 70. This is largely due to increased life expectancies, which make delaying a financially prudent decision for those who can afford it. As people live longer, the cumulative benefits of waiting to claim grow significantly.
Evan Mills, Associate Financial Advisor at Scholar Advising, emphasizes that the decision to retire and the decision to claim Social Security benefits are distinct. A retiree can choose to retire at 67 and still delay claiming Social Security, thus optimizing their benefits. This separation of retirement and benefit claiming allows retirees to maximize their financial resources strategically.
For individuals like Patrick, delaying Social Security benefits is not merely about increasing his monthly check but ensuring financial stability in an unpredictable economy. The choice to wait until 70 to claim benefits is a strategic maneuver aimed at securing future financial health through careful foresight and planning.
This strategy is particularly important given the current state of retirement savings and the uncertain future of pension systems. With fewer workers having access to pensions and many retiring with inadequate savings, Social Security becomes a crucial element of financial planning.
Moreover, the decision to delay is supported by multiple studies that consistently show the financial advantages of waiting until 70. These studies suggest that for most retirees, the increased benefits from delaying far outweigh the immediate benefits of claiming early.
The shift towards longer life expectancies further reinforces the rationale for delaying. As individuals live longer, the risk of outliving their savings increases, making the additional income from delayed Social Security benefits even more valuable.
This underscores the importance of financial literacy and planning in retirement. Retirees must be well-informed about the implications of their choices regarding Social Security to make decisions that best serve their long-term financial interests.