Forbes: Social Security Article

[JourneyOfLife]

The article describes many issues that people might consider about applying for benefits at different ages.

The article was written by Boston University Professor of Economics; Laurence Kotlikoff


Forbes:

Mind you, a large share of the rules in Social Security’s Handbook rules are indecipherable to mortal men and the POMS is often worse. But thanks to patience on the part of the actuaries, I’ve learned things which almost no current or prospective Social Security recipient knows, but which almost all should know.

The reason is that taking the right Social Security benefits at the right time can make a huge difference to a retiree’s living standard.





44 Social Security 'Secrets' All Baby Boomers and Millions of Current Recipients Need to Know - Revised! (http://www.forbes.com/sites/kotlikoff/2012/07/03/44-social-security-secrets-all-baby-boomers-and-millions-of-current-recipients-need-to-know/print/)

[TNLAKEPANDA]

That is an excellent article. Like everything the government does collecting SS is very complicated. The is no one right or wrong answer because each person's needs are different and add to that their health issues. The biggest problem in my opinion is that people start planning for retirement way too late in life. Today's generation is hardly saving anything at all for retirement. The Villages could end up a ghost town in the future.

[billethkid]

That is an excellent article. Like everything the government does collecting SS is very complicated. The is no one right or wrong answer because each person's needs are different and add to that their health issues. The biggest problem in my opinion is that people start planning for retirement way too late in life. Today's generation is hardly saving anything at all for retirement. The Villages could end up a ghost town in the future.

I suppose that is a possibility but the probability should be rather low just based on supply and demand. The aging population is far from topping out. And as we all know the boomer bubble is just starting to get into gear. TV will be a fixed commodity in the near future. Given the lifestyle remains relatively what it is today, homes here will always be in demand.

And as we have witnessed throughout the last few years of an at best questionable/disasterous economy TV sales may have slowed some but remained at a pretty impressive pace. TV slow development would be a dream come for a developer located anywhere else.

My bet is the desire for the lifestyle we all enjoy will remain in demand.

[Chi-Town]

For us in The Villages this is probably the Golden Age of Retirement. We got to participate in profit sharing plans and pensions at a time when our real income was growing. IRAs were paying nice dividends and matching 401ks were generous.

[JourneyOfLife]

Retirement benefits have been getting less generous over the last 35 years.

IMO, it just shows the importance of Social Security and Medicare for seniors.

For some, SS is their only retirement income.

But for just about everyone, SS is part of the 3 legged stool for retirement income.

[billethkid]

Retirement benefits have been getting less generous over the last 35 years.

IMO, it just shows the importance of Social Security and Medicare for seniors.

For some, SS is their only retirement income.

But for just about everyone, SS is part of the 3 legged stool for retirement income.

I look back and ask what I would do differently. There are not too many but I definitely would start working on the nest egg much earlier.
It is typical that what one needs in retirement is not a priority when younger than....say 50. I know I didn't but I was fortunate to have company and private retirement plans for the future. At 50 I got serious and established a goal of being able to walk away from work at 59....which I did!

In today's environment where corporations and just about every other institution no longer provides benefits like we were fortunate enough to have.
As a result people have to spend more for health care as well as everything else. Retirement plans almost no longer exist.

So it becomes even more important for the youth of America to be thinking about how to become financially independent much, much earlier. That will not happen for the same reasons we didn't do more sooner. Retirement for today's youth will look very much different than what our generation and the baby boomer generation had/has.

They will have less and be able to afford less.......unless by the time they retire the government will have provisions to handle that as well.;)

[2BNTV]

The younger generations would be wise to start planning a nest egg, in their twenties as 35 % percent of the present population, hasn't saved anything for retirement.

My son isn't planning for SS to be there when he retires, so he saves his own retirement funds.

I don't agree TV will be a ghost town. After all, we will leave our houses to them, when the big guy calls us home. :pray:

It doesn't pay to be stupid about money. :D

[JourneyOfLife]

The younger generations would be wise to start planning a nest egg, in their twenties as 35 % percent of the present population, hasn't saved anything for retirement.

My son isn't planning for SS to be there when he retires, so he saves his own retirement funds.

I don't agree TV will be a ghost town. After all, we will leave our houses to them, when the big guy calls us home. :pray:

It doesn't pay to be stupid about money. :D

There is some level of political risk with anything that involves the government.

But I believe your son should not worry too much about it. The program might evolve a little but I am confident it will be there for him.


But, his concern probably has a positive aspect to it. If he gets motivated to save... He should at least be prepared for retirement.

If he really get's motivated, he might have the financial ability to retire early if he chooses. He might choose to continue to work... but it is always nice to have the option to stop working if one chooses!