When Delaying Social Security Until 70 Costs More Than It Saves

Delaying also forces retirees to draw down portfolios for eight years. A market downturn during that period can permanently shrink the nest egg, a risk known as sequence-of-returns. Recovering from a 25% drawdown while still withdrawing is a steep climb, planners say.

For married couples, the lower-earning spouse cannot access the spousal benefit until the higher earner files. That can strain household income during the waiting years. Filing earlier may unlock combined income faster and reduce portfolio strain.

The decision is specific to health and portfolio size. Income needs also matter. Retirees in poor health or with heavy portfolio withdrawal needs can come out ahead by filing earlier, planners say. The break-even age remains the central question.