FYI on Social Security

[Mudslinger]

We decided when we retired at age 67 in 2020 that my wife would wait until she turned 70 to start taking he SS payments. She and I are in the group that she was able to take 1/2 of my SS draw per month without affecting my payments. She has contacted and is starting to draw her SS soon and in contrast to what it would have been in May 2020, this time around her monthly payments are almost $2000 per month higher than if she had started in 2020. We were fortunate to have other options until she turned 70, but DANG wait 2 years and right at $2000 a month more. I guess there are times that waiting and being lucky pay off!

[Plain Lucky]

I've understood consistent with what you've stated, that the lower income spouse has the option to draw from his/her own SSA, or receive 50% of the amount that the higher income spouse receives. The part that I'm not clear on is "when" the lower income spouse is able to draw the 50% of the higher income spouse's benefit.

She wasn't able to draw 50% of your benefit amount until you hit full retirement age (67ish) and starting drawing, correct?

And since she opted to wait until 70, how was her benefit increase determined? I'm assuming that due to her waiting, her benefit is now more than 50% of your benefit amount, correct?

[Mudslinger]

I've understood consistent with what you've stated, that the lower income spouse has the option to draw from his/her own SSA, or receive 50% of the amount that the higher income spouse receives. The part that I'm not clear on is "when" the lower income spouse is able to draw the 50% of the higher income spouse's benefit.

She wasn't able to draw 50% of your benefit amount until you hit full retirement age (67ish) and starting drawing, correct?

And since she opted to wait until 70, how was her benefit increase determined? I'm assuming that due to her waiting, her benefit is now more than 50% of your benefit amount, correct?

I do not draw squat as far as SS goes. Being self employed too many years. At the time I started drawing and she started drawing 1/2 of mine (we were both 67) she did make less than I did after basically dropping a 6 figure income and became a consultant for a third of her highest pay, but way less work and able to do it from home!

Not everyone can do the 1/2 draw from the highest paid family member that has retired. We were just lucky as we could. Not sure how here benefit was determined at this time, but for us it was a way higher amount than we thought.

I draw some SS and also some TRS retirement, BUT, my SS payments were docked due to me also drawing SS! They call it double dipping which is total BS! My little SS and a little TRS does not even add up to what her monthly payment is. We are just lucky in having decent retirement other than SS but $2000 more per month for her was a shock. Just hope SS does not think that was a mistake down the line and dock her payments until we REPAY for their mistake. This happened when they found out my TRS pay.

[Buff]

I am confused.......
If I start drawing my SS, my wife can also get a check from SS off what I paid in?

[Andrew Aguechee]

I am confused also. Even though my wife worked for many years, she receives about a 1/3 of what I receive in Social Security. In fact, her "take home", the amount she actually receives each month, has gone down each of the last 3 years. This is a result of her Medicare cost increase has been greater than her SS adjustment. My experience has been SS is a total rip off and the fact some win and some lose in the system makes me even more certain of that fact.

[tvc184]

I am confused.......
If I start drawing my SS, my wife can also get a check from SS off what I paid in?

Yes but I believe it is based on her reaching SS retirement age.

[brokeno]

What would her lump sum payout would be since she was able to collect? I was planning on doing the same as you until my cousin who is the same age as me had a stroke. I decided to draw my SS after that and I could take a lump sum from the time I was elgible or have my monthly SS increase about $30 a month. The lump sum was over $15,000 so that was a no brainier. It's a gamble but I'm wondering how much you left on the table since you waited until 70. My break point to break even was to draw and live to 82. With my family history I wasn't taking that chance.

[glen]

I’m gonna grab it early at 62 and put it in another investment account is my plan now. Government has been mishandling my money for years and I figure if I can get it into logical investments I should come out better off

[bugleboy]

If I read the payment percentages correctly, between 67 and 70, she’d have to be pulling in $8000 a month in SS to get that kind of jump.

[Txhunter3000]

I’m gonna grab it early at 62 and put it in another investment account is my plan now. Government has been mishandling my money for years and I figure if I can get it into logical investments I should come out better off

Grab it early. My breakeven point was 82 and we think alike on the government, the funds might nit be there tomorrow.

[Rwc]

I’m gonna grab it early at 62 and put it in another investment account is my plan now. Government has been mishandling my money for years and I figure if I can get it into logical investments I should come out better off

This is my thoughts also.

Rwc

[boy wonder]

82 is the break even for most (maybe all).

[SaintBlaise]

I’m gonna grab it early at 62 and put it in another investment account is my plan now. Government has been mishandling my money for years and I figure if I can get it into logical investments I should come out better off

Taking it early, usually means taking 20% less. Everyone should at least consider taking at your FRA. The OP took advantage of a few things, but one was delaying for 8% annual increase until age 70.

[Mudslinger]

I am confused.......
If I start drawing my SS, my wife can also get a check from SS off what I paid in?

Possibly. I visited with a SS expert and was told this. We looked into it and dang if it let us!

[Mudslinger]

What would her lump sum payout would be since she was able to collect? I was planning on doing the same as you until my cousin who is the same age as me had a stroke. I decided to draw my SS after that and I could take a lump sum from the time I was elgible or have my monthly SS increase about $30 a month. The lump sum was over $15,000 so that was a no brainier. It's a gamble but I'm wondering how much you left on the table since you waited until 70. My break point to break even was to draw and live to 82. With my family history I wasn't taking that chance.

Have never looked at a lump sum payout.

To put it bluntly, we have other means of retirement funds that we have not even accessed yet that makes the SS payment look less than attractive. We have been extremely in investments and such. We are hopefully not leaving anything for the GOV as we have no children and will spend as we like within reason. Not sure what it takes to retire and enjoy retirement. Time will tell.