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“We Own Our Home Outright”: Should I Take Social Security at 67 or Wait?

If you’re nearing retirement, you’ve probably asked yourself this question: Should I start Social Security now or hold off for a bigger check later? It’s a tough call and feels pretty important, but it’s not just about crunching numbers—it’s about your life, your health, and how you want to spend the next chapter.

Here’s the setup: You’re 67, you and your spouse fully own your home (no mortgage stress!), and you’re bringing in about $100,000 a year before taxes. If you claim Social Security now, you’d get around $30,000 annually. Wait until 70, and that amount jumps by roughly 24% to $37,200 a year.

Looks great on paper, right? But real life usually throws a few curveballs.

Why Waiting Makes Sense (Most of the Time)

The “standard” advice is that benefits grow about 8% for every year you delay, up until age 70. This means waiting locks in a larger monthly check for the rest of your life—kind of like buying a guaranteed raise. If you expect to live into your late 80s or beyond, waiting often pays off big time.

Think of it as a safe investment with no fees or risk of loss—a comforting thought when most investments feel uncertain.

But What About Taking It Now?

Let’s get real. You’re earning $100,000 a year, so you might not *need* that Social Security income just yet. Plus, with your home paid off, your monthly expenses may be pretty manageable. Still, there are solid reasons some folks decide to claim early:

• Health Concerns: Life is unpredictable. If you or your spouse have health issues or family history that doesn’t point to a super long life, grabbing benefits now might be a better bet. After all, waiting only makes sense if you live long enough to make up for those missed years.
• Enjoying Life Sooner: Your late 60s and early 70s can be some of the best years to travel, dive into hobbies, or spend more time with grandkids. Taking Social Security early could give you more freedom to do these things without worrying about money.
• Market Worries: If your investments have taken a hit or you’re anxious about market volatility, Social Security is a solid guaranteed income source that can help you avoid selling investments during a downturn.

Waiting for 70: The Classic Advice

Most financial pros lean toward waiting until 70, and with good reason. That extra 8% a year adds up, and it’s like buying yourself a lifelong paycheck that’s adjusted for inflation. Plus, for couples, waiting means a bigger survivor benefit, which can keep your spouse financially secure if you go first.

I’ve seen plenty of couples who waited and never regretted it—the bigger monthly check gave them peace of mind and a solid foundation for their budget.

What Should You Think About Before Deciding?

Here’s how I’d break it down:

• Do You Need the Money Now? If your current income covers your lifestyle and you don’t need extra cash, waiting is easier. But if you want to slow down or work less, taking it early could give you more breathing room.
• Health and Longevity: If you’re healthy and have a family history of living long, waiting usually pays off. If not, don’t feel guilty about taking your benefits earlier.
• Spouse’s Future: If you’re married, the higher benefit you get by waiting can help your spouse down the road.
• Peace of Mind: Some people just feel better knowing that guaranteed monthly check is coming in. That comfort counts.

When Waiting Isn’t the Best Move

Sometimes the “wait as long as possible” plan doesn’t work out:

• Health Changes: If something unexpected happens health-wise, those extra years of waiting might never pay off. Social Security stops when you do—there’s no inheritance.
• Policy Risks: While unlikely, Congress could change Social Security rules in the future. It’s a risk worth keeping in mind, especially if you’re counting on a specific amount.

Tax Stuff You Shouldn’t Ignore

If you’re earning $100,000 and still working, remember Social Security benefits might be taxed—sometimes up to 85%. That $30,000 benefit could shrink after taxes. Waiting until you retire (and your income drops) might mean you keep more of your benefits.

The Emotional Side of This Decision

Numbers help, but they don’t tell the whole story. Some people take benefits early and invest the money, hoping to beat the “raise” you get by waiting. Sometimes it works, sometimes it doesn’t. Others wait and get peace of mind from a bigger, guaranteed check.

If you’re feeling torn, you’re definitely not alone. Even the pros have a hard time deciding.

Wrapping It Up

Owning your home outright, earning well, and having the option to wait gives you a strong starting point. The “best” choice really depends on your health, plans, and comfort with risk.

Don’t get stuck trying to find the perfect answer. Sometimes, making a decision and moving forward is the real win.

Being honest with yourself about what you want and understanding the trade-offs puts you ahead of most people—and that’s what retirement peace of mind is all about.

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