freebird5825
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Hi again, Hi again. Well it is that time for me - turning 62 in August. Now EVERYBODY tells me "grab it at 62 - do the math - you will have to live to about 77-80 to make up the difference on what you are giving up not taking it early.
Uhh huh and good point. However I recently read an opinion for a CFP on this issue. "If you NEED the income then take it. However if you don't need it and are just going to let it sit in the bank consider this. For every year you don't take it at 62, Social Security grows at an annual rate of about 8%. It is kind of like investing your money at an 8% growth rate per annum. If you are just going to let it sit in a Savings Account, CD or Money Market earning the current .75 or 1 percent you are better off letting it sit growing at 8%. That is unless of courses you can find a better investment vehicle for it that can generate an annual return of 8 % or better. Plus remember the approx 8% growth SS generates is tax free growth. Thoughts Mr. B
Uhh huh and good point. However I recently read an opinion for a CFP on this issue. "If you NEED the income then take it. However if you don't need it and are just going to let it sit in the bank consider this. For every year you don't take it at 62, Social Security grows at an annual rate of about 8%. It is kind of like investing your money at an 8% growth rate per annum. If you are just going to let it sit in a Savings Account, CD or Money Market earning the current .75 or 1 percent you are better off letting it sit growing at 8%. That is unless of courses you can find a better investment vehicle for it that can generate an annual return of 8 % or better. Plus remember the approx 8% growth SS generates is tax free growth. Thoughts Mr. B