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@William A. Wilds It really is just a math problem. Short answer is, using your example, if you live beyond 78.5 years, its better to take benefits at age 67 vs 62. Unless you need the money now. Here is how it all works:
The math works like this. Lets say we use your numbers of $1000/month for early as possible benefits, at age 62. That would mean full retirement age is, lets say 67. And that would be 30% more, or about $1430/month.
Lets say you are 62 now. Here is what you would get over the next decade in SS if you went early vs full:
EARLY: $1000/month x 12 months x 10 years = $120,000
FULL: $1430/month x 12 months x 5 years = $85,800
Difference is = $34,200 more by going early. That gets you until age 72. Now, lets go for the next ten years until age 82.
EARLY: $120K + $1000/month x 12 months x 10 years = $220,000
FULL: $85.8K + $1430/month x 12 months x 10 years = $257,400
If you live until 82 you are better off taking full benefits as you come out $37,400 ahead. And of course its $430/month better from that age on, every month.
Question is what age will it be a wash and what age do you expect to live to, morbid a question as that is?
It will be a wash, under this example, at approximately age 78.5. Here's the math:
EARLY: $1000/month x 12 months x 16.5 years = $198,000
FULL: $1430/month x 12 months x 11.5 years = $197,340
Hope that helps!