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So if your age 62 payment is $10K per year (and ignoring COLA which lifts all boats equally), you've got $80K in the bank when you hit age 70. At that point you'd get about $17K per year in SS rather than $10K, ...

This is a simplistic example, ignoring COLA and the effects of investing the money rather than just putting the cash in your mattress. But the point is that thinking you are in any sense getting 8% just for waiting is absurd.


Your math is not correct.

You would be getting about $20k a year, not $17k, which is why:

but the 62yo starter has eighteen years worth of $10K, so is still ahead with $180K.

is also incorrect as you would now be behind by $20k. I posted a link upthread that provides a graphical representation of the breakeven points.

When you take COLA into account, the disparity grows each as 2% COLA on $10k is a lot less than a COLA of 2% on $20k.

I don't generally consider the investment potential of early payments in this discussion since if you are someone that doesn't need the money for your or a spouse, then there is very little reason to ever wait beyond 62 or your full retirement age.
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