Originally Posted by Sue J
Wow, W2R. What wonderful news!
She turned 62 in April and wanted to get her SS early. Her DH is 67, recently retired but not collecting SS yet as they have a healthy portfolio to live on. He tried to explain the benefits of her waiting until her FRA and his file and suspend, but she wanted to start at 62 even if it wasn't the best option.
So her decision is from her heart and gut, not a math equation. Like you, she was so excited to see that first direct deposit, in her name.
My Dad received an early retirement offer when he was 59. His pension was coordinated with SS and the offer was that he would receive the combined amount of his pension and SS at his full retirement age of 65. After age 65, he would receive his pension check from the company and a separate check from social security.
Instead of waiting until he was 65 to sign up for SS, he took early SS at 62 reduced by 20% for early retirement. So for three years he received a windfall, then at age 65 he saw his pension check revert to the actual amount of the pension and a social security check reduced by 20% for early benefits. I didn't find out about this until he was 80.
In my Dad's case he was obsessed with "getting his money back" and I doubt that any one could have convinced him otherwise. At age 65, I suspect that he was already experiencing early Alzheimer's because my Mom told me how bitter he was that the company "cut" his pension. In five and one half years he had completely forgotten the terms of his early retirement offer. I later found the document he had signed and the disclosure was perfectly clear about the terms.