I just happened to check the Retire Early Board and saw John Greaney's March article which may be of interest to some readers here:
Social Security "Withdrawal of Application" Strategy Ends --
But You Can Still buy a Cheap Annuity on the Installment Plan
Back in January, Retire Early noted that you can still "buy" the additional inflation-adjusted monthly benefit that the now defunct Withdrawal of Application strategy provided at age 70 by simply delaying your first Social Security check until then. Think of it as "buying an annuity on the installment plan." It would still be much cheaper than taking Social Security at age 62, and then buying an annuity in the private market at age 70 to make up the difference in your monthly benefit. To illustrate this, let's look at a retiree eligible for the maximum monthly Social Security benefit who turned 70 in January 2011 and started taking Social Security when he turned 62 in January 2003.
Social Security "Withdrawal of Application" Strategy Ends -- But You Can Still buy a Cheap Annuity on the Installment Plan
omni
Social Security "Withdrawal of Application" Strategy Ends --
But You Can Still buy a Cheap Annuity on the Installment Plan
Back in January, Retire Early noted that you can still "buy" the additional inflation-adjusted monthly benefit that the now defunct Withdrawal of Application strategy provided at age 70 by simply delaying your first Social Security check until then. Think of it as "buying an annuity on the installment plan." It would still be much cheaper than taking Social Security at age 62, and then buying an annuity in the private market at age 70 to make up the difference in your monthly benefit. To illustrate this, let's look at a retiree eligible for the maximum monthly Social Security benefit who turned 70 in January 2011 and started taking Social Security when he turned 62 in January 2003.
Social Security "Withdrawal of Application" Strategy Ends -- But You Can Still buy a Cheap Annuity on the Installment Plan
omni