If you've read previous articles that I've written on Social Security, you probably know that I'm a fan of delaying benefits until age 70 (at least for the primary income earner). Ideally if a spouse can delay their own Social Security until age 70, it will provide maximum payments for them and the subsequent surviving spouse. It also reduces investment portfolio withdrawal rates, allowing them to last longer. In conversations that I have with others, I often hear them say that they like … [Read more...]

One of the biggest challenges I face with clients in maximizing Social Security is the misconception that Social Security income should probably begin after work ends. This is a logical assumption when a retiree thinks about the potential income gap they will have once they lose their work income. A new concept for them is the idea that you can build a bridge between the end of work and the beginning of Social Security benefits if they are taken later on. As a reminder, the value of … [Read more...]

Perhaps you’ve heard that millions of Americans have created online accounts with the Social Security Administration called my Social Security accounts. But why do these accounts matter and what can they do for you? Creating a my Social Security account is an important part of planning for your retirement. Your my Social Security account is the only place where you can see personalized estimates of your future benefits based on your actual earnings. The SSA uses your highest 35 years of … [Read more...]

One financial planning issue that all married couples will need to deal with during retirement is the loss of one Social Security check due to the passing of one of the spouses. I often get questions about how this actually works in real life. In our article, let's discuss how Social Security survivorship works under different circumstances. IF THE SURVIVING SPOUSE IS UNDER FULL RETIREMENT AGE If the surviving spouse is under full retirement age and the survivor elects to begin the … [Read more...]

As most people know, Social Security benefits are reduced when claimed before full retirement age (FRA). But did you know that there are three different formulas to calculate the reductions depending on the kind of Social Security benefits?  Also, there are two sets of calculations based upon the total number of months that one is claiming early? Of course, you can always contact the Social Security Administration for your exact benefit in any particular month and year you elect to … [Read more...]