Financial Planning

Should I Wait to Take Social Security? #SocialSecurity

By October 21, 2018 No Comments

We get asked a lot about Social Security.

Most people take it when they are eligible to take it and stop working, which is as young as 62.

We know that a lot of people need to, because they don’t have other resources, and they can’t afford to live without it. If you’re in the part of the population that can live without it and has some resources, and you’re in reasonably good health, it really might make sense to delay taking it even as late as 70 because your benefit will go up by 8% a year. Then, that benefit is yours (plus inflation) for the rest of your life.

It’s probably the best longevity insurance you can buy. That benefit at 70 is about two-thirds higher than it would be at 62, and that could go for a really long time.

So, we understand that a lot of people need to take it, and so they do, but a lot of other people, we think, take it before they should.

So if you can get by reasonably, comfortably without taking it and you think you’re in good enough health that you’re not going to die in the next few years, it probably makes sense to delay taking it.

Michael Garry

Author Michael Garry

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