Saving Social Security

Quote: AZDuffman

I’ll do the math when the time comes but I honestly don’t expect to make age 70. Even if I do make that I don’t see the USD holding up past 2040 or so at most. India might be our great friendemy by that point.

The guy who did the math on this was a school teacher friend of my brothers who had a genius IQ. He started collecting at 62 and people told him he was crazy that he should wait till he was 70 because it would be so much more. When he explained it to them they started collecting when they were 62 also.

Quote: AZDuffman

Glad you mentioned this, though. I will probably take early benefits as I do not see myself living long enough to make waiting pay.

Someone should collect data on the number of people who take SS benefits late, but don't live to collect. I'd like to know the percentage.

Quote: rxwine

Someone should collect data on the number of people who take SS benefits late, but don't live to collect. I'd like to know the percentage.

I think the true issue is not that you live long enough to start collecting it, but that you live long enough to make up for the amount you deferred. If you start collecting at 70 and live to age 77, you deferred 8 years of payments from age 62, I am guessing you did not make up nearly what you deferred.

Quote: Evenbob

The guy who did the math on this was a school teacher friend of my brothers who had a genius IQ. He started collecting at 62 and people told him he was crazy that he should wait till he was 70 because it would be so much more. When he explained it to them they started collecting when they were 62 also.

All it takes is simple math. Like FIN101 at most. I think my dad collected early because he did not think he would last. He went at 74.

Quote: rxwine

Someone should collect data on the number of people who take SS benefits late, but don't live to collect. I'd like to know the percentage.

Someone does. The founder of this site made his living calculating that stuff. I will defer to him except for the below.

That was a dirty little secret about the objections to Bush43 reforming it in 2005 which would have let you pass the private part down to your heirs. Someone somewhere pointed out that blacks especially died young to collect.

Quote: GenoDRPh

When taking SS, can you elect to have withholding taken off the top, so we don't find ourselves in the 1099 pickle at the end of the year?

I don't remember any decision to be made, that I could have had withholding set up, I don't think you can

I'll feel silly if someone points out you can

Quote: Evenbob

You would be a fool not to. I took mine early. The fact is if you wait till you're 70 for the maximum benefits you have to live to be about 85 to get back the money you lost between 62 and 70. The government wants you to wait because every year that goes by there's a greater chance you'll die and never collect anything.

The breakeven point is closer, though, than 84 or 85, you draw up about even around 78 if your retirement age as set for normal was 65 like mine

It's a personal decision depending a lot on how long you think you will live. Naturally everyone wants to defend what they decided and naturally Bob's decision makes him think everyone should have made the same one

Quote: odiousgambit

I don't remember any decision to be made, that I could have had withholding set up, I don't think you can

I'll feel silly if someone points out you can

https://www.ssa.gov/manage-benefits/request-withhold-taxes

You fill out a form and send it in and they'll withhold taxes for you.

I swear I remember nothing about deciding to not do withholding!

thanks

I'm pretty sure, though, I'm not going to call that number to find out nobody answers

I can elect withholding when I withdraw retirement funds