Quote:
Originally Posted by l2ridehd
The very best investment you can make is to wait longer before taking SS. 8% a year increase in payout. So as long as your working even part time, wait. If possible wait until your 66. And for the very best return wait until your 70 before starting SS. Remember your spouse is eligible for 50% of your SS. So by waiting until your 70, her share increases. By starting at 62 you get about 68% of the amount your entitled to receive. And when your spouse is eligible she gets half of that or 34%. By waiting until 66 you get 100% and she gets 50%. By waiting until your 70, you get 132% and she receives 66%.
Another good plan if she is eligible on her own, is for her to use your SS at the 50% rate and wait until 70 until she applies. This can also work in reverse. Have her apply, you receive 50% of hers and wait until 70 to apply on your own.
Really look at all those options and use a plan to maximize the SS payout.
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Good comments.
Remember with a married couple, once one of the spouses dies, the survivor's household income will be reduced because one SS payment stops.
The surviving spouse gets to retain the higher SS payment. Waiting till an older age can reduce the potential financial impact.
Most people do not bother to understand all of the issues. Instead they think about it simply and wing it.
Of course, SS has certain special rules regarding people with certain types of public pensions (e.g. public school teachers). So people should get the facts from The Social Security Administration too, just to make sure they understand their situation with regard to SS and their options.