Ways to Earning an Extra $180,000 on Social Security Benefits
Most retirees know that they can start claiming their social security benefits at the early age of 62 with the drawback of having a 30% deduction for claiming early. But there are enormous financial rewards for those who wait until the age of 70. Americans who hold off claiming their social security benefits until the age of 70 can expect an increase in their lifetime payout by more than $180,000.
According to a published post by Smartnews, normally people would only gain a few thousand dollars by delaying until the age of 70 but those at the high end would gain about $900,000 over the course of their retirement by waiting. Studies conducted by the National Bureau of Economic Research say that the median loss in lifetime discretionary spending for those who don’t wait until 70 is $182,370.
How to Retire A Rich Man With Your Social Security Benefits
The study conducted by the National Bureau of Economic Research states that Social Security is a critically important component of retirement-income security. Unfortunately, hundreds of millions of workers are making highly inappropriate collection decisions that significantly reduce their lifetime Social Security benefits and their lifetime spending. Waiting to claim benefits will increase the amount you receive monthly. However, waiting longer to start collecting Social Security will decrease the total number of payments you get paid before death.