There are some circumstances in which it makes sense to suspend Social Security benefits that are being received now in order to receive higher benefits in the future.   It could be the circumstance in which a Social Security benefit was activated early based upon incomplete or poor advice that needs to be reversed.   It could be a circumstance in which an individual did not think that they would be working before full retirement age but later took on employment that was subject to … [Read more...]

Nearly all types of income in retirement can create a potential tax trap for Social Security benefits to be taxed as well. This includes not only work income but distributions from traditional IRA accounts and even passive income such as rental income. Distributions from a Roth IRA accounts, though, do not count toward income for the purpose of how much of your Social Security benefit gets taxed, assuming that the Roth IRA account has been in place at least five years and you are over the age … [Read more...]

When seeking advice on Social Security claiming, one must be careful who to consult.   A lot of Social Security advice that gets implemented is based on conversation with friends and family or around the water cooler with co-workers, comparing the age that they claimed benefits.   Everyone's circumstances are unique and so one temptation may be to go directly to the Social Security Administration for advice about claiming strategies, bypassing all other sources. … [Read more...]

The surviving spouse benefit is a critical part of retirement planning.   At some point in time, nearly every married couple will have to deal with the loss of their spouse and the financial ramifications that go with it. When both a husband and wife are eligible for a Social Security benefit, and one spouse predeceases the other, the surviving spouse is entitled to the higher of the two Social Security benefits.  Assuming the surviving spouse has reached full retirement age, they are … [Read more...]

The Social Security Administration announced today that monthly Social Security and Supplemental Security Income (SSI) benefits for more than 66 million Americans will increase by 2%. The 2% cost-of-living adjustment (COLA) will begin with benefits payable to more than 61 million Social Security beneficiaries in January 2018.   Increased payments to more than eight million SSI beneficiaries will begin on December 29, 2017. … [Read more...]