Savvy Social Security Planning
“Savvy Social Security Planning: What Baby Boomers Need to Know to Maximize Retirement Income”
Social Security is a lot more valuable than many people realize. Here are a few points to consider:
- Social Security is a lifetime annuity. Once you start getting it, it keeps coming until you die.
- Social Security benefits are inflation-protected. A nice benefit, indeed, thanks to annual cost-of-living adjustments (COLAs). With the power of compounding, these annual bumps can really start to add up over the years. This aspect is often overlooked by individuals and advisors.
- Social Security benefits include a right of survivorship. So when one spouse dies, the other can continue to receive the higher of the two benefits until they die, too.
Consider this example.
In 2018, the maximum benefit for a person turning full retirement age is $2,788 per month. If that person lives for 30 more years, assuming an annual cost-of-living adjustment of 2.6% (which is what Social Security trustees project under their intermediate-cost scenario), he or she will collect well over a $1,000,000 in benefits.
The 90 minute workshop will cover the following topics:
- How a person accumulates Social Security benefits over their working career;
- How annual cost-of-living increases are determined;
- How to do a breakeven analysis to determine if a you should consider delaying benefits;
- The formula for determining how benefits are taxed;
- How to estimate lifetime Social Security benefits;
- How to coordinate spousal benefits for maximum income and protection for the surviving spouse;
- How to optimize benefits taking into account a person's age, current health status, life expectancy, earned income taxes, and overall financial goals.
We will be considering the following questions:
- Can it make sense for a spouse to collect benefits on his/her own work record at age 62 and then switch to a higher spousal benefit at age 66?
- Does the fact that the spouse starts collecting benefits on his/her own work record at 62 negatively impact the spousal benefit at age 66?
- If a spouse wants to wait to collect benefits at 70, can he collect benefits on his spouse's earnings record before then?
- If a married person who is less than full retirement age is collecting SS benefits and is also working, is it only that person's earned income that determines if benefits will be reduced or is it the joint earned income that is compared against the earned income limits?
- Can legitimate tax write-offs be used against any Social Security income that is deemed to be taxable?
- What if you were a local government employee, who didn't pay into Social Security, retired early, and now is in a new high-paying career contributing to Social Security?
Each attendee will receive “The Baby Boomer’s Guide to Social Security” which is a 6-page laminated information piece which illustrates many of the topics covered during the workshop, provides useful Internet addresses, telephone numbers and calculation methods.
Each attendee will also be entitled to a free, no obligation consultation to ask questions pertaining to a person’s personal situation: those questions that include income and/or asset questions that could not be asked in an open forum.
2018 Workshop schedule:
- Monday June 4
- Wednesday August 15
- Thursday September 13
- Monday October 22
- Wednesday December 5
Register for our next Social Security: Maximizing Your Retirement Income workshop