62 or 66?

Jim turned 62 last May and I'll be 62 in October. So whether or not to apply for Social Security benefits now, or wait until we're 66, has been a significant discussion lately. Since Jim is working full time and plans to continue doing so for at least another four years, it's an easy decision for him to wait until he's 66. But, since I retired after we sold the family business, we keep debating whether or not I should apply for benefits now.

Although I made an appointment for us to talk to a SS agent in July, right now I'm set on waiting until I'm 66 to apply. As our financial advisor explained, if I invest all my SS checks for the next four years, the return on my investment won't come close to the bigger checks I'll get if I wait until I'm 66. So, since we're managing on Jim's income, it just makes sense for me to wait. 

My parents retired at 62 and lived off SS and mom's pension until mom was placed in a nursing home in April 2009 at age 78. For them, full retirement age was 65. So, for just three years, they used COBRA to get mom's extremely affordable health insurance through the school district where she was a bus driver for nearly 30+ years. 

But my generation's reality is someone in the household must continue working full time, if at all possible, until at least 66 when we qualify for Medicare. Private pay health insurance is simply too expensive. When we were business owners, we paid nearly $700 a month for a $6000 deductible plan. With Jim's current employer, we have a better plan for just $51 a month.

Do I wish we could have both retired this year and started planning all the trips we would take throughout our 60s as my parents did? You bet I do! But, given our reality, all I can do is pray 70 is indeed the new 60 while trying to forget mom was diagnosed with Alzheimer's Disease at age 72.