Join Early Retirement Today
Thread Tools Search this Thread Display Modes
How retiring early affects SS
Old 09-12-2015, 12:45 PM   #1
Recycles dryer sheets
Join Date: Mar 2013
Posts: 98
How retiring early affects SS

So retiring much will this affect SS payouts?
Much? A lot? Little?
My SS statement says I'll get over $3000 at 70. Will quitting 18 years ahead of 70 greatly affect that?

NoOneGetsIt is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 09-12-2015, 01:08 PM   #2
Recycles dryer sheets
Join Date: Jun 2011
Posts: 297
Go in and use the SS website and place $0 in the years that you won't be working to get an estimate. My zero years did not make that much of a difference for me. I have always calculated my retirement without receiving any SS.

pjm-7 is offline   Reply With Quote
Old 09-12-2015, 01:41 PM   #3
Thinks s/he gets paid by the post
Join Date: Jul 2005
Posts: 4,074
Your "primary Insurance amount" depends on your 35 highest earning working years. There are breakpoints in the benefit calculation such that after a certain cumulative income you get less benefit. So if you are now making less than your 35th best year of income, quitting will have no effect. And if you have passed the top cumulative income breakpoint already, the effects of dropping a few years of extra income can be pretty small.

But you'll have to run the calculator to see how it affects you personally.

Here's an explanation of the calculations for those born in 1953:
Animorph is offline   Reply With Quote
Old 09-12-2015, 02:07 PM   #4
Full time employment: Posting here.
Join Date: Sep 2013
Posts: 808
Just as an example. I will retire at 55 with 29 years of paying the max into Social Security plus a few years of inconsequential earnings while in school. 29/35 = 83% yet I will get a bit over 90% of the maximum SS benefit (assuming it's still around in 2030 when I take it).
stepford is offline   Reply With Quote
Old 09-12-2015, 02:40 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Nov 2009
Posts: 5,363
I figured out that including 11 zeroes into the SS calculation dropped my monthly SS benefit by about 10%, hardly anything to get me excited about. I was barely in the 32% income replacement bracket which is part of the reason.
Retired in late 2008 at age 45. Cashed in company stock, bought a lot of shares in a big bond fund and am living nicely off its dividends. IRA, SS, and a pension await me at age 60 and later. No kids, no debts.

"I want my money working for me instead of me working for my money!"
scrabbler1 is offline   Reply With Quote
Old 09-14-2015, 08:27 AM   #6
Full time employment: Posting here.
Join Date: May 2011
Location: Marco island
Posts: 813
I retired at 51. I figured my benefits will be a few thousand dollars a year less than if I retired at 67. Since I was self employed and a high earner, my contributions for those years would have been about 240 thousand. So, I would have to live until I was 187 to break even. I guess that is why they call it a tax.

Gatordoc50 is offline   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Visuallizing how a rate rise affects bond funds Lsbcal FIRE and Money 30 12-29-2012 12:58 PM
Yes, the LIBOR scandal affects you too... obgyn65 FIRE and Money 4 07-13-2012 08:18 PM
Health / Emotional affects after ER Finance Dave Life after FIRE 39 03-03-2008 07:44 AM
A Medicare Curveball Affects Tax Planning haha FIRE and Money 8 09-04-2007 06:02 PM
Types of voting machines affects outcome cute fuzzy bunny Other topics 0 05-14-2005 03:27 PM

» Quick Links

All times are GMT -6. The time now is 07:46 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2020, vBulletin Solutions, Inc.