How much do I need to retire at 62?

With Social Security supplementing your income, most people need $750,000–$1.5M in savings to retire at 62, depending on lifestyle.

Should I take Social Security at 62?

It depends on your health and savings. Claiming at 62 reduces your benefit by about 30% permanently. If you have other income sources, delaying to 67 or 70 gives a much larger lifetime benefit.

What is the Social Security break-even age for claiming at 62 vs. 67?

If you claim at 62 versus waiting until 67 (full retirement age), the break-even point is roughly age 79. If you live past 79, you receive more in total lifetime benefits by waiting. If you have health concerns or need income immediately, claiming early may still make financial sense.

How do I bridge the gap to Medicare if I retire at 62?

You'll need 3 years of private health insurance before Medicare at 65. Options include: COBRA coverage from your employer (typically 18 months), ACA marketplace plans (often $500–$900/month for an individual), a spouse's plan, or part-time work that provides benefits. Budget $40,000–$60,000 for this healthcare bridge period.

Can I Retire at 62? Here''s What You Need

You can retire at 62 — it’s the earliest age to claim Social Security. But benefits are reduced by about 30% compared to waiting until full retirement age at 67. Most people need $750K–$1.5M in savings alongside Social Security to retire comfortably at 62.

How Much You Need to Retire at 62

Annual Spending	SS at 62 (est.)	Gap to Fill	Savings Needed (25x gap)
$40,000	$18,000	$22,000	$550,000
$50,000	$18,000	$32,000	$800,000
$60,000	$18,000	$42,000	$1,050,000
$80,000	$18,000	$62,000	$1,550,000

Claiming Age	Monthly Benefit	% of Full	Annual	Break-Even vs. 62
62	$1,500	70%	$18,000	—
65	$1,800	86.7%	$21,600	Age 77
67 (full)	$2,143	100%	$25,716	Age 79
70 (max)	$2,657	124%	$31,884	Age 81

Claim at 62 if: Health concerns, no other income, need the money now.

Delay if: Good health, have savings to bridge, want maximum lifetime income.

Your Timeline at 62

Age	Milestone
62	Social Security available (reduced)
63	IRMAA look-back (Medicare premium surcharges)
65	Medicare — healthcare costs drop significantly
66	Consider Roth conversions before RMDs
67	Full Social Security retirement age
70	Maximum Social Security benefit
73	Required Minimum Distributions (RMDs) begin

Healthcare: Age 62 to 65

You’re just 3 years from Medicare. Options:

Option	Monthly Cost	3-Year Total
ACA Marketplace	$500–$1,200	$18,000–$43,200
COBRA (18 months)	$600–$2,000	Bridge only
Spouse’s employer plan	Varies	Best if available

Budget $25,000–$45,000 for healthcare from 62 to 65.

The Tax Strategy Opportunity

Ages 62–72 can be a powerful window for Roth conversions:

Income is lower (no salary)
Social Security may not be taxable yet (if delaying)
Convert traditional IRA to Roth at low tax rates
Reduce future RMDs and tax burden

Bottom Line

Retiring at 62 is achievable with $750K–$1.5M in savings plus Social Security. The biggest decision is whether to claim Social Security now (reduced 30%) or bridge with savings and delay for a larger lifetime benefit. If you’re healthy, delaying to 67 typically pays off by age 79.

See can I retire at 60 or can I retire at 65 for comparison. Also see how much you need to retire and the average retirement savings by age. Return to the How Much Do I Need to Retire hub.

Written by WealthVieu

WealthVieu researches and writes data-driven personal finance guides using primary sources including the IRS, Bureau of Labor Statistics, Federal Reserve, and Census Bureau.

The content on Wealthvieu is for informational purposes only and should not be considered financial, tax, or investment advice. Consult a qualified professional before making financial decisions. Full disclaimer · Editorial policy