Lifestyle

5 Common Mistakes When Filing for Social Security That Cost Retirees Thousands

By Curtis Jones · August 7, 2026

The decision you make at 62 determines what you’re paid for the rest of your life. Most people make it without running the numbers.

Social Security is the largest single source of retirement income for most Americans, and the filing decision is irreversible. Once you lock in your benefit amount, it adjusts only for cost-of-living increases — never for the strategy you wish you’d used. Here are five mistakes financial advisors say cost retirees the most.

Filing at 62 because “I might not live long enough.” Early filing at 62 permanently reduces your benefit by up to 30% compared to waiting until full retirement age (67 for most current retirees). The math only favors early filing if you die before roughly age 80. If you live to the average life expectancy of 84 for women or 79 for men, waiting produces significantly more total income over your lifetime. Most people underestimate how long they’ll live — and the reduction is permanent.

Not knowing your full retirement age. Full retirement age is not 65 for anyone born after 1959 — it’s 67. Filing at 65 thinking it’s your full benefit means accepting a reduced payment. The SSA calculates your benefit based on your exact birth year and filing month. Getting the date wrong means leaving money on the table for every month you collect.

Ignoring spousal benefits. A spouse who never worked, or who earned significantly less, may be entitled to up to 50% of the higher earner’s benefit. But the timing matters: the higher earner must file first before the spouse can claim the spousal benefit. Couples who file independently without coordinating strategies can lose thousands of dollars annually. A married couple should always run the numbers together, not separately.

Working while collecting early and losing benefits to the earnings test. If you file before full retirement age and continue working, Social Security withholds $1 for every $2 you earn above $22,320 (2026 limit). Many early filers don’t realize this until their first check is smaller than expected. The withheld amount is credited back after full retirement age, but the cash flow disruption catches people off guard.

Failing to check your earnings record for errors. Your benefit is calculated from your 35 highest-earning years. If a year is missing or underreported — because an employer didn’t report correctly or you changed jobs — your benefit is permanently reduced. The SSA’s my Social Security portal shows your earnings history. Checking it before filing and correcting any errors is one of the highest-return financial tasks a near-retiree can do.

Social Security doesn’t offer do-overs. You get one filing decision, and it follows you for life. Running the numbers with a financial advisor or using the SSA’s online calculators before filing costs nothing and can mean the difference between a comfortable retirement and one that falls short every month.