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Old 06-07-2023, 01:47 PM   #41
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As I have said 100 times, We are waiting until I'm 70 to start SS, so my wife will get a larger check after I die, and to leave more room for Roth Conversions. But I am also getting "tired of waiting". I have 1yr 6months until I'm 70. If I wait, the one more year after 2023, I'll be able to Roth convert an additional $150k of the $370k we will have left in tax deferred accounts.(22% bracket) This will get our tax deferred down to $220k. Still giving us 3 years to spend down mine and 7 years to spend down hers. So, unless we have a great rise in the stock market, I think we have the RMDs pretty well tamed. If we take SS one year early, it will only increase our tax deferred accounts by $60k to $280k. I don't consider that a lot.

On the other hand taking SS one year early, decreases our starting SS income by $4,450 a year, and my wife's spousal benefit (after I die) by $3,100 a year + any COLA's.
All that said, I'm still on the fence! But, I'm starting to lean towards a year early.


P.S. I did tell my wife wait until we start SS and then we will upgrade the kitchen. If we start early, does that mean I need to upgrade the kitchen early?
I'm not sure what the hurry is, the kitchen style is only hitting 50 years old this year.
I don't know if they're still doing it, but SS offered me a "deal" in which they would let me retire at 70 but get a good chunk of cash which would move my retire date back 6 months. Nah! I wanted to keep the highest monthly pay out so DW would get the bigger payout upon my demise. But it could w*rk for some folks - especially those on the fence about 69 or 70.
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Old 06-07-2023, 04:46 PM   #42
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I hope this woman waited to 70.
https://wgme.com/news/local/oldest-l...g4aZJGFr7cp3kI
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Old 06-08-2023, 06:48 AM   #43
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Quote:
Originally Posted by Time2 View Post
As I have said 100 times, We are waiting until I'm 70 to start SS, so my wife will get a larger check after I die, and to leave more room for Roth Conversions. But I am also getting "tired of waiting". I have 1yr 6months until I'm 70. If I wait, the one more year after 2023, I'll be able to Roth convert an additional $150k of the $370k we will have left in tax deferred accounts.(22% bracket) This will get our tax deferred down to $220k. Still giving us 3 years to spend down mine and 7 years to spend down hers. So, unless we have a great rise in the stock market, I think we have the RMDs pretty well tamed. If we take SS one year early, it will only increase our tax deferred accounts by $60k to $280k. I don't consider that a lot.

On the other hand taking SS one year early, decreases our starting SS income by $4,450 a year, and my wife's spousal benefit (after I die) by $3,100 a year + any COLA's.
All that said, I'm still on the fence! But, I'm starting to lean towards a year early.


P.S. I did tell my wife wait until we start SS and then we will upgrade the kitchen. If we start early, does that mean I need to upgrade the kitchen early?
I'm not sure what the hurry is, the kitchen style is only hitting 50 years old this year.
Our house has had two kitchens, and one was done about 15-20 years ago. It may be time for you! Lol.

If you both have longevity, then the $4,500 additional per year makes sense. As I remarked elsewhere, it's a personal thing, and as you get closer to the end of life there is a more-important number.

Hey, I waited some, but want to enjoy a few checks before I can't.

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Originally Posted by Koolau View Post
I don't know if they're still doing it, but SS offered me a "deal" in which they would let me retire at 70 but get a good chunk of cash which would move my retire date back 6 months. Nah! I wanted to keep the highest monthly pay out so DW would get the bigger payout upon my demise. But it could w*rk for some folks - especially those on the fence about 69 or 70.
Bingo. When I called after hitting 69, I got the offer and took it. My check is lighter, and I banked about 19K as I recall.

So, I got tired of waiting, and I wanted a prize too. That worked for us, and of course there are other ways to follow "your plan." It's all good.
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Old 06-08-2023, 07:31 AM   #44
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Our house has had two kitchens, and one was done about 15-20 years ago. It may be time for you! Lol.
My wife has a stove in the garage that she uses more than the one in the kitchen. And if she bakes, she'll do it in the garage so it doesn't heat up the kitchen.

Quote:
If you both have longevity, then the $4,500 additional per year makes sense. As I remarked elsewhere, it's a personal thing, and as you get closer to the end of life there is a more-important number.
Not sure I have longevity, dad died at 74, mom at 84. Dad had his first heart attack at 43, so gar at 68 no hint of any heart problems.

Quote:
Hey, I waited some, but want to enjoy a few checks before I can't.


Bingo. When I called after hitting 69, I got the offer and took it. My check is lighter, and I banked about 19K as I recall.

So, I got tired of waiting, and I wanted a prize too. That worked for us, and of course there are other ways to follow "your plan." It's all good.

If we take it a year early, the $4,450 we loose per year, it will take 12 years of getting the extra $4,450 to cover the $55,000 we get the first at 69 years old. I would be 81, not sure it will matter. Either way, we won't run out of money.
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Old 06-08-2023, 08:12 AM   #45
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So, I got tired of waiting, and I wanted a prize too. That worked for us, and of course there are other ways to follow "your plan." It's all good.
+1. When to take Soc Sec is definitely a personal decision depending on many things - marital status, projected longevity, other income sources, tax implications, faith in future Soc Sec, or just because...
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Old 06-08-2023, 08:16 AM   #46
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My wife has a stove in the garage that she uses more than the one in the kitchen. And if she bakes, she'll do it in the garage so it doesn't heat up the kitchen.


Not sure I have longevity, dad died at 74, mom at 84. Dad had his first heart attack at 43, so gar at 68 no hint of any heart problems.




If we take it a year early, the $4,450 we loose per year, it will take 12 years of getting the extra $4,450 to cover the $55,000 we get the first at 69 years old. I would be 81, not sure it will matter. Either way, we won't run out of money.
Calculating the numbers was making me numb!

I wanted my check. I got it. Done!
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Old 06-08-2023, 08:58 AM   #47
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When you both take social security at 70 you are betting that both of you will live a long life. This has a lower probability than either one of you living a long life. For example, if we use 83 for your life expectancy and 86 for your wife’s, each of you has a 50% chance of living to your life expectancy. However, there is only a 25% chance both of you will live to your respective life expectancies. Your joint life expectancy is only 77, making both taking SS at 70 a bad statistical bet. If opensocalsecurity.com takes into account investment returns accrued on money received from taking SS before 70, this is what drives the age where both taking SS pays off to over 90.
That depends on what you're betting on, or why you are betting. If you buy higher liability on your car insurance than the law requires, are you betting on having a bad accident? Or are you just protecting yourself in case it happens?
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