davismills
Recycles dryer sheets
- Joined
- Dec 6, 2012
- Messages
- 335
Um he says at 5% return, 66 is the age. But it looks like the line for 62 is higher.
I found myself wondering, abstractly, when should I retire? And close behind that thought came this one: when should I start taking Social Security? Somewhere along the way, I got an MBA in finance and marketing at Chicago, the quant school. We did a lot of modeling there, and so I decided to model social security, using a wide range of assumptions. I looked at three key ages: 62, 66, and 70; four interest rate assumptions for cash-flow discounting: 1%, 2%, 5%, and 10%. And two important assumptions about the solvency of the U.S. Social Security Administration. My only tool was a simple Microsoft Excel spreadsheet.
No highlights? We all have to read the whole article just to find out whether it is worth reading the whole article?
No, you don't have to read the whole article. Guy makes a bunch of wild assumptions, does a partial analysis of SS payouts under those assumptions, congratulates himself on his use of cash flow discounting in the math. Seems to have no real understanding of what he's doing or why. But he got an article in Forbes. Woo Hoo.
No, you don't have to read the whole article. Guy makes a bunch of wild assumptions, does a partial analysis of SS payouts under those assumptions, congratulates himself on his use of cash flow discounting in the math. Seems to have no real understanding of what he's doing or why. But he got an article in Forbes. Woo Hoo.