pb4uski
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
This is a popular misconception. You are not getting an 8% return. Your benefit increases 8% for each year that you delay, but that is vey different from an 8% return.Greetings:
If you don' t take social security early, the benefit grows at 8%. That's a long term growth rate that's hard to beat and it's certain. ...
People should take Social Security early if they need the money to live on (of course), if they are going to die young for some reason, or if they have other investments that are certain to grow more than 8%.
Or twisted another way, if you wait from FRA of 67 until 70 to get $24 a year more, if you die at 75 you will only have collected an additional $120... not nearly enough to compensate for having given up $100 a year for 3 years.
Or put another way, if you start at 67 and die at 75 you'll collect $800. If you start at 70 and die at 75 you will only have collected $620.