Early retirement (Social Security) claims increase dramatically

Los Angeles Times ^ | May 25, 2009 | Mike Dorning

[yazoo]

Who knows. The SS website has some programs for calculating the best choice for a given situation.

[Ditto]

Check the link below and the links from that, and let me know what your CPA thinks. Some folks seem to be using this withdrawal loophole as a high return annuity.

Frankly, I don't understand the details but would be interested in what you (or your CPA) thinks.

http://seniorjournal.com/NEWS/SocialSecurity/2008/8-02-26-OlderSenCitShould.htm

[CaliforniaCon]

Re: “Check the link below and the links from that, and let me know what your CPA thinks. Some folks seem to be using this withdrawal loophole as a high return annuity.
Frankly, I don’t understand the details but would be interested in what you (or your CPA) thinks.

http://seniorjournal.com/NEWS/SocialSecurity/2008/8-02-26-OlderSenCitShould.htm";

**********

I’ve seen that article and others — my CPA has no knowledge of this loophole but all he did say is he advises many people to take SS as soon as they are eligible.

With this return-the-money and start-over program, one must have a good amount of cash on hand to repay what they’ve gotten already from SS, but you pay it back without interest.

Since none of us knows how long we might live, despite genetics and personal health history, and many would like to collect something since most of feel we were forced into contributing and want to get some back, it makes sense to take SS at 62. Then, if one is still around at 66 or 67 or whenever their full benefit date might be, and they have the cash to fork over all they’ve gotten thus far, they start over at the full benefit amount. Works for me!

And you don’t have to decide until you actually reach the age of full benefit, so I’d say take the money at 62 and wait and see, assuming one has the means to repay it all later and start over.

[dragnet2]

Take the money at 62? Why.

Because millions of people die by the time their 66? lol....

[OB1kNOb]

Add up the total amount you've received over that 4 years and then tell me how many years, after age 66, it would take for that extra $350 to add up to that amount.

By my estimates, I wouldn't start losing money by taking it early until I reach age 77, and that doesn't even take into consideration the time value of getting that money over 4 years. If a person isn't planning on having earned income over the annual limit, I advise them to take the money early while they can get it. If they don't need it to live on, save it and earn interest on it until they do. I'm not that sure I'll be around at 77 to regret that I took early SS. Money in the hand is the better option IMO.