62? 66? or 70? – Think about it!

Hello friends !

Glad you are back to The Over 50 Corner because, this one is for YOU !

For those of you who are just about to retire or, at least thinking about it, this information just might be food-for-thought about collecting your Social Security Benefits.

As the title reads, at what age are you planning to retire?  Ok, now that you answered that, let me ask you this…at what age are you going to start collecting Social Security?

Do the ages you picked relate to one another?  Well, yes they do!

I know that many of you have been depositing funds into your 401K for years now (or at least, I hope so) that you probably won’t be needing that monthly check from Uncle Sam.  But, then there are some of you who want, or need, the extra funds that you’ve worked so hard for and claim them right away and I don’t blame you!

So, here are some facts to ponder.  The full retirement age at which you receive full retirement (if born between 1943-1954) is 66!  That does not mean you cannot start receiving benefits at age 62?  Yes, you can, but at a cost!  Here’s what this means…if you were born in 1954 and claiming benefits at 62, your check would be 25% less than at age 66!

At age 66, you would be entitled to 100% of your benefits!

But wait!  If you delay your benefits until age 70, they will be 32% higher than at 66!  So, for every year after the age of 66, the benefit increases 8% a year until they top out at 70!

How about that?  Having second thoughts about claiming your benefits?

Oh, just one more thing…it’s called the Earning Test! This is when the Social Security imposes a penalty to those claiming their benefits before full retirement age, of $1 for every 2$ earned over the current amount of $15,720.00.  Get out your calculator!

Just something else to think about!

That’s it for now! I hope this information has helped you a bit in deciding when, or when not to, claim your benefits.  For more detailed information, please consult the Social Security Administration’s official website:  www.ssa.gov

Note:  I have a 6 page report that I will gladly send to you just for the asking.  Just send your request to:  fredh46@ymail.com.  It includes a synopsis of this and various other situations that affect Social Security benefits.

Thanx again and see you next time at The Over 50 Corner!

Fred

ps. If you think this information or this blog may interest anyone you know, please share it with them, although it may cost you their friendship!  Just kidding!

 

 

 

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