The Effects of Age 62 Social Security Disability Benefits/ Donati Law, PLLC
Deciding whether or not to take early Social Security retirement benefits at age 62 is a difficult financial decision. The tradeoff for receiving early benefits is that you could receive a permanent reduction in your benefits of around 25%. Depending on your financial situation and life expectancy, this may or may not be a desirable option for you. For a good discussion on this, see this article from Charles Schawb.
However, many people are forced into retirement before they planned. A major health problem or sudden job loss can quickly eat through your savings and leave you with no other source of income. For individuals close to retirement and no longer able to work because of health issues, there is a great deal of confusion as to the best course of action. A common concern that I encounter from people filing for disability in their 60s is whether taking early retirement benefits will hurt their disability claim.
The good news is that you can draw your age 62 retirement benefits while also putting in a claim for disability. If your disability claim is successful, your monthly benefits will be raised to the higher disability rate. Unfortunately, you are not allowed to “double dip,” and the Social Security Administration only allows you to draw the larger of the two benefits.
The one potential downside to filing is that you could be permanently locked in to your age 62 benefits if your disability claim is unsuccessful.
To determine whether you have a case that is ultimately likely to be approved, please contact the attorneys of Donati Law. The lawyers at Donati Law are well-versed in the area of Social Security disability law and can help you figure out how to maximize your Social Security disability benefits.