It's Time For Medicare (whether I want it or not)

[Gale Hawkins]

Social Security: Offices will reopen after 2 years this month | Fingerlakes1.com

Social Security Administration offices have remained closed since March of 2020, and now, two years later, they will finally be reopening this month. The agency is currently facing major backlog issues, similar to the IRS, due to the pandemic and staffing issues. Many are hoping that reopening...

www.fingerlakes1.com

 

[Paddy]

even if I thought I would die at 68, I would not draw at 62. Why? Because my wife could live to her late 80's on 70% of what it could have been. Drawing early has big penalties long term

Even if my wife started drawing her S.S. early, when she chose to take "half" mine, it is reduced. 70% of 50% is mine.
If we both go early, 70% plus her 35% =105%
Both go FRA, 100% plus 50% =150%
I go at 70, she geos at FRA, 124% plus 50% = 174%

When I die, she will get 70 to 100% the highest SS benefit depending if she OR I go early
(your spouse will get 100%, not the 124%)

I think I got it correct...

 

[Gale Hawkins]

even if I thought I would die at 68, I would not draw at 62. Why? Because my wife could live to her late 80's on 70% of what it could have been. Drawing early has big penalties long term

Even if my wife started drawing her S.S. early, when she chose to take "half" mine, it is reduced. 70% of 50% is mine.
If we both go early, 70% plus her 35% =105%
Both go FRA, 100% plus 50% =150%
I go at 70, she geos at FRA, 124% plus 50% = 174%

When I die, she will get 70 to 100% the highest SS benefit depending if she OR I go early
(your spouse will get 100%, not the 124%)

I think I got it correct...

I think you're correct on that last point. I signed up at age 70 so I get 132% of my full retirement age but my wife because she had reached full retirement age but not yet 70 she is drawing off of me until she retires and she gets 50% of what I would have gotten if I had retired at a full retirement age instead of 50% of what I draw.

 

[KennyG]

If you delay and your wife waits until her full retirement age, she gets 50% of what you would have gotten if you had not delayed. However, when you die, her benefit steps up to what you were getting including the delay bonus. I'm not sure it makes sense, but it's the government.

A large factor in my delaying to 70 was that my wife is 11 years younger.

 

[Williy]

KennyG the gov never makes cents! Clowns are
not very bright but the worst part is their in the GOV!
I knew a guy that worked at the post office and when
he retired he was asked if he wanted to combine his
two retirements and he said yes what a mistake he
lost $800 bucks a month by doing that. I retired from
civil service and when I when to get my SS I lost $100
a month. They vote themselves a pay raise more than
I make in 2.5 years of SS

willy

 

[oosik]

Diggin It - - look at the bright side. You lived long enough to get these bennies. Kenny G - post#2 - hit a home run. Get the Medicare book and figure it out from there. Get objective evaluations - not sales pitches.

 

[Fuddy1952]

I speak with a financial consultant occasionally. Before I retired at 61 when I mentioned social security his advice was taking it at 62 which I did. He said the age where things change is about 85. In other words living past 85, I should have waited.
Everyone's situation is different and no way could my wife & I survive on our SS combined although we paid into it for many years starting as young teens. Ours is taxed, enough left after Medicare and taxes for maybe a few meals out.
We don't think of it as income.

 

[Williy]

jTaking SS at 62 the three years I was collecting
before I hit 65 I don't believe I would have gained
anythig if I had waited and I had a few extra bucks
for pocket money. I had worked at the post office
for 6 years and they wanted me to pay that back
so I could collect by adding that in for retirement
but I would have had to pay twice the amount I
received like $9,987.65 so I could add another
$50 a month. That sure was so sweet a deal I
just had to pass it up.

willy

 

[buckeyefarmer]

Exactly.

The problem with taking Social Security later is when you have a decent retirement fund of your own and you want to keep as much of your money as possible. If we take Social Security early, that is money that we do not have to spend from OUR retirement accounts. We can't pass on our Social Security benefits to children and/or grandchildren but we can with our retirement funds. If one looks at the Social Security actuarial tables you can see one's life expectancy. We are planning to live to age 85, though the tables say I won't get to 85. My expectation is I will live passed 85 due to current health and family history, but one does not really know.

I would rather get Social Security ASAP to minimize taking money out of our retirement funds. Also to allow us to start taking out more money from the retirement finds to reduce taxes later on due to required withdrawals. That last part is a balancing act.

Later,
Dan

Very good point Dan.

 

[Gale Hawkins]

jTaking SS at 62 the three years I was collecting
before I hit 65 I don't believe I would have gained
anythig if I had waited and I had a few extra bucks
for pocket money. I had worked at the post office
for 6 years and they wanted me to pay that back
so I could collect by adding that in for retirement
but I would have had to pay twice the amount I
received like $9,987.65 so I could add another
$50 a month. That sure was so sweet a deal I
just had to pass it up.

willy

The math can vary from person to person so each one has to do the math After getting advice directly from the SSA.

In my case I am getting an extra $1500 more per month for life by signing up at 70 vs 62. SSA called me the day after I signed up to tell me have my wife who plans to retire at 70 to sign up at once drawing off of me until she turns 70. When she called another younger SSA rep said No Way.

Since this unknown SS bonus was going to be worth $30K to her she didn't take No for an answer. Six months later we both got our first SS DD's 30 days after I turned 70.

I told her that this unknown $30K SS bonus surely was for a Tesla down payment in 2024. Had she not had reached her FRA and been 65 days younger she would be missing out on this bonus that I never factored into my when to retire decision.

SS details are FULL of Exceptions plus make sure your SS Rep is fully informed about Exceptions that may apply in your case.