Social Security is a complex topic. And if you’re nearing retirement, when to claim your benefits is a critical decision. There’s no single correct answer, but in this episode, Mark Riepe and Rob Williams offer ideas to help you formulate a Social Security plan that’s right for you.
In this episode of Financial Decoder, host Mark Riepe examines one of the most critical retirement decisions: When should you take Social Security? When you claim too early, your benefits are reduced, and yet a large percentage of people claim at the earliest possible age. What’s driving this decision? Mark looks at three psychological phenomena that could impact the decision: loss aversion, present bias and reference points.
Joining Mark in the discussion is Rob Williams, Vice President of Financial Planning, Income Planning and Wealth Management.
- Many of the rules and reports that Mark and Rob discuss can be found on the website of the Social Security Administration.
- The 2017 Annual Statistical Supplement to the Social Security Bulletin shows that 30% of Americans claim benefits at the earliest possible age—62. Here's why many of them regret it.
- The link between income and wealth and longevity was studied by researchers at the Urban Institute in this 2015 report.
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