Kirk's Market Thoughts Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Kirk's Market Thoughts

COHR 191.72

+0.2%

Dec 26 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: George Statham who wrote (5826)	5/31/2018 8:07:09 AM
From: w0z	Read Replies (1) of 26862

So you still get the COLA but the 8% isn't compounded. So it's really just 8% for the first year. No. The benefit increases 8% per year from Full Retirement Age (66 for me) to age 70.5. So it's a 32% benefit increase which is inflation protected by annual SS COLA increases. For those considering early retirement (age 62), is a much larger benefit (32% discounted from age 66 and then 32% increase to age 70). Where can you get a guaranteed investment that (over the 4 years from 66 to 70) returns of 8% per year inflation protected? Unless SS goes bust it was a no-brainer for me since I could afford to wait. Also my wife had parents who lived to 96 and 100 so her odds of longevity are about the same as mine (>100). So between the two of us, there is a high likelihood one or both of us will live beyond the 82 breakeven date. BTW, for "the traveler", if your predicted age is less than current age, one of the programs suggests lifestyle changes and you can see the benefit in expected longevity increases. That is a very good motivator to improve changes you can directly manage (e.g. diet, exercise, etc). You're correct about your spousal benefit comment. Unfortunately they deleted the "File and Suspend" program which would have allowed you to file at age 66, delay your benefit until 70 but allowing your wife to receive a benefit based on your earnings record when she reached 66.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next