As part of AARP’s Ready for Retirement? campaign, a ten-step approach to retirement planning, the organization has also introduced an online Social Security benefits calculator.
More than half of those claiming retired worker benefits in 2009 elected to receive benefits as soon as they became eligible at age 62. But that decision comes at a cost of lower monthly benefits, potentially decreasing one’s lifetime retirement income by a significant amount – as much as 8 percent lower for every year that someone claims before reaching full eligibility age.
The AARP Social Security Benefits Calculator walks users through a simple, question-and-answer format and provides estimates for both monthly and lifetime benefits across a range of ages. Users can also calculate spousal benefits, account for the impact of receiving earned income while collecting benefits, compare estimated monthly benefits to expected expenses in retirement, and print a personalized summary report.