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Percentage Deduction for Early Retirement

According the the annual social security statement I just received, the estimated benefit at age 63 is only 15.9% less than the estimated benefit at age 66. I would have expected a 20% deduction.

I then went on line and used the benefit calculator to double check the numbers. In this case, the age 63 benefit was only 15.4% less than the full benefit amount. Further, I ran scenarios starting benefits at 64 and 65. The deductions were 14.3% and 7.7% versus the expected 13.3% and 6.7%.

What am I missing? Have others observed similar discrepancies?

I will be turning 64 in November and am trying to decide when to begin collecting my social security benefit.


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