Thanks everyone for the thoughtful responses! This has given me a lot to think about. I'm definitely going to run more detailed calculations including the investment growth potential and tax implications. I hadn't considered the Roth conversion strategy or the survivor benefit implications for my wife. Sounds like I need to look at this as part of our overall financial picture rather than just comparing benefit amounts at different ages.

I work with retirees as a financial educator, and I've seen both sides of this. The biggest regrets I typically see are from people who claimed early and then continued working without understanding the earnings test (which can temporarily reduce or eliminate benefits if you earn too much before FRA). Or those who claimed early without realizing how it would impact their surviving spouse. But for those who did the math and made an intentional choice based on their specific circumstances? Very few regrets. The key is making an informed decision rather than just claiming early because you can.

One important suggestion I should have mentioned earlier: your nephew should consider getting representation from the beginning of his application process, not just if he gets denied. A disability attorney or advocate who specializes in SSDI claims can make a huge difference in approval rates, especially with complex neurological conditions. Most work on contingency (they only get paid if he wins, typically 25% of backpay up to $7,500), so there's no upfront cost. They know exactly what medical evidence will be most persuasive, which doctors' statements help most, and how to properly document the functional limitations that will qualify him. The application process is intentionally difficult and the forms are designed to trip people up. Having someone guide him through can dramatically increase his chances of approval at the initial level, potentially saving years of appeals.

Thank you all so much for the incredible advice and personal experiences. I feel much better equipped to have this conversation with my nephew now. I'm going to emphasize that: 1. He's paid into this system - it's insurance, not welfare 2. His children could potentially receive benefits too 3. He can still try working while on the path to SSDI 4. Getting representation from the start is crucial I think approaching it from the angle of caring for his family rather than focusing on his limitations will help. And hearing from others who've been through similar situations with the same reluctance is incredibly valuable. Thank you all for your compassion and wisdom!

Regarding citizenship - for Social Security benefits purposes, citizenship is less important than residency status. Since the daughter is residing in Spain and is not a US citizen, she's treated as a nonresident alien under US tax law, subject to the treaty provisions between the US and Spain. One other important point about the Representative Payee situation - since the mother is a non-US citizen living abroad, SSA might require additional verification and documentation. This could include more frequent Representative Payee accounting reports. She should ask the FBU specifically about any special requirements for her situation. Also, make sure your friend keeps all documentation of how the benefits are spent on behalf of her daughter. Foreign Representative Payees sometimes face additional scrutiny.

A dedicated bank account is definitely a good idea! Representative Payees are actually required to keep Social Security funds separate from their own money. The account should be titled in a way that shows the child owns the money but the mother manages it - something like "Maria Rodriguez, representative payee for Sofia Rodriguez, beneficiary." This makes it much easier to track how funds are spent and complete the annual Representative Payee Report. It also helps prevent any appearance of misuse of funds, which can be especially important in international cases where there might be more scrutiny.

What about that thing where they increase ur benefit if they withhold some? My uncle said they recalculated his benefit when he hit retirement age and it went up because of the months they didn't pay him when he was working too much?? Anyone know about this?

Based on everything shared here, it seems your best option is to: 1. Continue working through December 2. Apply for retirement benefits around October (for January start date) 3. Start benefits in January when you're no longer working This avoids the earnings limit issue entirely, prevents possible overpayments, and gives SSA enough processing time. Plus, waiting gives you a slightly higher benefit amount anyway due to delayed retirement credits.

I STILL think this is a TERRIBLE policy!!! Both spouses pay into SS their entire working lives but then one doesn't get squat when the other dies if they already have their own benefit?? How is that fair??? We should all be writing to our congress people about this!!! And don't even get me started on the WEP/GPO penalties that some of us face. The whole system needs to be overhauled!!!

One thing to clarify that might help others reading this thread: for retirement benefits, you can choose between your own benefit OR a spousal benefit (up to 50% of your spouse's FRA amount while they're alive). For survivor benefits after a spouse passes away, you can receive up to 100% of what your deceased spouse was receiving if you're at full retirement age (less if you take survivor benefits early). In both cases, you get the higher of either your own benefit OR the spousal/survivor benefit - never both combined. The OP's situation is unfortunately common - when both spouses have worked and earned their own benefits, sometimes the survivor rules don't provide additional amounts. The $255 death benefit hasn't been increased since the 1950s, which is why it seems so small compared to monthly benefit amounts.