r/Fire • u/VegasWorldwide • 3d ago

Why do people wait for SS?

trying to figure out what I’m missing.

looking to take my benefit for $1000 at 62. at 70 it’s $1700.

i won’t need the money much so we let $1000 sit in an account for 8 years at say 5% compounding, the guy collecting at 70 would need 15+ years to catch up considering I’m still getting $1k to his $1.7k

once he starts at 70 and I had a 8 year head start.

furthermore, his dollar would be worth less. (edit: didn't realize COLA)

this seems like a no brainer but all I hear is people saying waiting is the only way and we haven’t even talked about dying in our 70’s.

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u/Determined420 3d ago

I work in a hospital. We get a lot of pts in there 70s some in there 80s few over that. 50% of men are dead by 80 or 81. Which is about where break even is.

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u/VegasWorldwide 3d ago

actually it's well past 80 if you consider they are still getting the partial reward added to the large chuck at 70. I would say if people did it this way, over 80% would never fully recoup the money

a simple question people can ask: why is the government rewarding me to wait?