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Fear of Insolvency Driving Many Decisions to Claim Benefits Early - insurancenewsnet.com

It’s not the only reason folks claim Social Security before full retirement age, but the growing anxiety over the program’s financial future has become a significant factor driving early filing. The Schroders 2025 US Retirement Survey results note that 36% of respondents who indicated a preference to claim early do so because they are concerned that “Social Security may run out of money or stop making payments.” The dichotomy here is that this same survey revealed that over half (53%) are “concerned” or “very concerned” about outliving their assets in retirement.

Most financial advisors make it clear that waiting until age 70 to claim benefits will maximize monthly payments, yet only about 10% do that. “Leaving money on the table is a deliberate decision for most non-retired Americans, as 70% reported they understand that waiting longer to claim Social Security would increase their monthly payments, the survey shared,” says financial reporter Ayo Mseka in a post on insurancenewsnet.com. Her article, which you can read in full here, discusses the lack of savings and retirement income planning as contributors to this early filing decision.

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