Delaying benefits can raise monthly checks, but many workers say they need income sooner or doubt the program’s future. The real decision is less about a rule of thumb than a household-level tradeoff.
On October 22, 2025, CBS News reported that 90% of working Americans — nine in 10 — plan to skip a core piece of Social Security advice: wait until age 70 before claiming benefits. The investment firm Schroders survey behind the finding highlights the tradeoff: Social Security can be claimed at 62, full retirement age is now 67, claiming early can cut monthly payments by about 30% for life, while waiting until 70 can raise them by roughly 24%. This article explains why Americans are ignoring that advice despite the lifetime payment gap.
The finding is striking because it is not just about financial literacy. Schroders said most respondents understood that waiting can produce higher payments. The harder question is whether workers can afford to wait.
The advice is simple, life is not
The usual Social Security guidance sounds clean: delay if you can. For people who expect to live a long time and have other income to cover their early retirement years, waiting until 70 can be one of the few guaranteed ways to raise inflation-adjusted retirement income.
But the Schroders survey suggests that many working Americans are not planning around an ideal spreadsheet. In its survey of 1,500 adults, only 10% said they expect to wait until age 70 to file. Another 44% said they plan to claim before reaching full retirement age.
That gap between the recommended move and the planned move is the real story. It shows how Social Security is often treated less as a retirement optimization tool and more as a needed paycheck.
Deb Boyden, head of U.S. defined contribution at Schroders, told CBS News the decision is “not an oversight” for most Americans. Schroders found that 70% know waiting longer leads to higher payments, yet many still expect to claim early.
What delaying actually buys
Social Security benefits are built around claiming age. A worker can start retirement benefits at 62, but doing so generally means accepting a permanent reduction compared with waiting until full retirement age.
For many current workers, full retirement age is 67. Claiming at 62 can reduce the monthly benefit by about 30%. That smaller check does not later jump back to the full amount simply because the person gets older.
Waiting works in the other direction. Delaying until 70 can produce a monthly payment roughly 24% higher than claiming at 67. That higher check also continues for as long as the person collects benefits.
This is why financial advisers often push the delay strategy, especially for people in good health, people with longer life expectancy, and married couples where a higher benefit may also matter for a surviving spouse. CBS News noted that one study found filing early can cost $182,000 in foregone payments.
Why workers claim earlier
The obvious reason is cash flow. Many people retire without enough savings to cover several years of living expenses before Social Security starts. For them, waiting until 70 may be mathematically attractive and practically impossible.
That is especially true when housing, insurance, debt and everyday costs are already stretching household budgets. A bigger check later does not pay this month’s rent, medical bill or grocery tab.
Health can also change the calculation. Someone managing a chronic condition may not want to postpone benefits for a larger payment they worry they may not live long enough to collect. Others may leave the workforce earlier than planned because of layoffs, caregiving responsibilities or physically demanding jobs.
There is also an emotional piece. After decades of payroll taxes, some workers want to receive benefits as soon as they are eligible. That instinct may not maximize lifetime income, but it can feel rational when retirement already feels uncertain.
The break-even age matters
The break-even point is where the early-claiming path and delayed-claiming path catch up to each other. It is not the only factor, but it is one reason many retirees resist blanket advice.
CBS News used a simple example based on an average monthly Social Security benefit of about $2,000. If a person claims at 62 and receives a reduced payment of about $1,400 per month, that person would collect about $134,400 over eight years before reaching 70.
If that same person waited until 70 and received about $2,480 per month, the larger payment would take years to make up for the money not collected earlier. In that example, the break-even age is about 80.4.
That does not mean claiming at 62 is always better. It means the best answer depends on life expectancy, savings, work plans, taxes, marital status and risk tolerance. The Social Security Administration offers an online calculator that lets people compare how claiming at different ages changes monthly benefits.
Fear about Social Security’s future
Another reason people plan to claim early is distrust that the program will look the same later. The Social Security trust funds are under pressure as the population ages and benefit payments outpace incoming payroll-tax revenue.
The most recent Social Security Board of Trustees projection cited by CBS News said the trust funds could become insolvent by 2034 if lawmakers do not act. That does not mean benefits would disappear. It means the program would still collect payroll taxes, but scheduled benefits could face cuts of about 20%.
That distinction matters. Some Americans hear “insolvent” and assume the money will be gone entirely. Others understand payments would continue but still worry that waiting exposes them to political risk.
Lawmakers have options, including raising the income cap on wages subject to Social Security taxes. That cap was $176,100 in the figures cited by CBS News. The unresolved political question is who pays more, who receives less, and when changes arrive.
A better claiming question
The debate should not be reduced to “claim early” versus “wait until 70.” A more useful question is: what role must Social Security play in the household budget?
For some retirees, delaying is a powerful form of longevity insurance. It can protect against the risk of outliving savings, especially for people who can work longer or draw from other assets first.
For others, claiming earlier may be a survival decision rather than a preference. If Social Security is needed immediately to cover basic expenses, the higher future benefit may be out of reach.
The Schroders finding is a warning for retirement planning, not proof that Americans are irrational. The No. 1 Social Security advice may be to wait until 70, but advice only works when people have the savings, health and job stability to follow it.
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