#3 Big downside: any changes are permanent

This is one of the biggest downsides that there are. You can start claiming Social Security benefits at age 62, which is under the full retirement age. And while this may end up being a good move for your situation, this also means that the benefits you will receive will be at a 25% reduction when compared with the ones you would have gotten had you applied to take them out at full retirement age.

The bad side of this reduction is not that it applies for those years, but rather that it is permanent. Once you have applied for early benefits and start receiving them, you will only receive the reduced amount. You will never get back to the full sum nor receive any part of the money retroactively. So if your health is in good shape, we recommend you try to wait until full retirement age so you don’t receive less than you have paid into the program.