Should You Delay Your Social Security Benefits?
We often meet with people that struggle with the decision of determining the best time to file for their Social Security benefits. They share different concerns with us, such as “I don’t want to dip into my savings” or “Social Security won’t be around much longer”. Choosing when and how to file your benefits is a major decision, one that can potentially cost you thousands of dollars in missed benefits.
According to a recent article, most people may be better off delaying filing for Social Security to as late as age 70. By doing so, it gives them a higher lifetime income, better longevity protection and maximized survivor benefits. Each year you delay taking benefits between age 62 and 70, your benefits grow around 8% and this also includes a cost of living increase. It would be difficult to match that type of return when comparing delaying benefits or spending down your retirement savings.
Today’s greatest retirement challenge is planning for a long lifetime in retirement. Did you know there is a 50% probability that one spouse of a married couple who are both 65 will live until at least 92? This makes it all the more important to have a retirement plan in place that provides balance with both security and longevity. And of course, everyone’s situation is unique and making decisions such as the best way to maximize your Social Security benefits will depend. You are welcome to give our office a call (775) 853-9033 to schedule a Complete Planning Review and have an analysis of your retirement plan.