How one can earn a fortune with Social Security at 62

[toobfreak]

How one can earn a fortune with Social Security at 62​

Best way you can get rich collecting social security is to get elected to some federal job in Washington for the next 50 years and do insider trading and other things like Nancy and Joe.

 

[toobfreak]

I took it at 62.

Smart man.

 

[Woodznutz]

We will use an average of 8% return over many yr

Totally unrealistic.

 

[Woodznutz]

I opted in at 63. Used it to help pay off a mortgage, have invested it ever since. Still working and have seen my SS check increase from $1360 to $1960 over the years. The downside is that I pay Fed taxes on 85 percent of it.

 

[Woodznutz]

Social Security rewards longevity handsomely. So stay healthy.

 

[Dr.Know]

Reasons to take SS early

You might be dead by full retirement age

A dollar today will be worth 80 cents in 5 yrs....................Under current inflation it will be about 35 cents after 5 yrs

You can still work and make 30k a yr I believe. You will lose 50 cents in benes for for each dollar over that. You aren't losing money though. It will be recalculated and you will have a higher monthly amount at full retirement for that money you temporarily had to repay

I told my client Matilda the above and then told her this

1191 at 62 or 1701 at 67........... If you make it to 67 that is. .....1701 will be worth about 1350, when compared to 5 yrs earlier. So you are losing about 150 bucks a month when you look at reality


Matilda. Let's say you take that 1191 and put in a mutual fund each month for 5 yrs. a quality S-P indexed fund

We will use an average of 8% return over many yr


The total time and amount of money is 60 months@ 8% return at 1191 each month

71,460 total principal

88,627 at 67

321,557 at 75

559,350 at 80

1,422,124 at 90

Matilda will be well off in 8yrs..................Really wealthy at 80...........................Doing back flips at 90

This will assure you you will not run out of money by outliving it

After I picked up Matilda off the floor after she fainted, she chose 62


This should be taught to high school seniors instead of figuring out what their genitals are not for and spitting on the flag, and shootin up skewls

I know so many people that used this broken logic and got in at 62 and are now crying. I am 64 and going to work as long as possible.

A Fallacy I see in many peoples thinking is : If you take it early, you can save so much per month,,,,,,WHAT A BUNCH OF BULLSHIT,,,,WTF ARE YOU GOING TO LIVE OFF OF ???? You have to pay rent, medicare, etc,,,,,,,,,,,how much are you going to have left if you take it early,,,,ZERO. This is a dangerous and pervasive myth. ( Most people only have SS,,,,no retirements).

You have to plan as if you are going to live to 90 because YOU JUST MAY and you will need as much money as possible.

Say you take SS at 62 and get 1000$ month and your rent is 650,,,,IN 5 YEARS, YOUR RENT IS GOING TO BE 1000$ but you are locked in a fixed income of 1000$ Had you kept working, you would be able to save more and will end up with more SS.

The Sweet Spot is 67 for maximum efficiency but not economy.

If you take SS before Full Retirement Age (67 for many), they deduct 50% of income over 17500 in wages. .

If you keep working after your FRA, you will get 8% more per year on SS up to age 70.

We know about Inflation but I would rather try to survive on 2000$ rather than 1000$ per month and COLA adjustments are a farce as they take it back in Medicare Increases.

Dont forget UN Agenda 2030,,,,its going to massively change the world before 2030. I would not go near the Stock Market because of this. California just banned Gas Cars by 2035 for example. Your math example would have been valid in 1975, but not now.

 

[Concerned American]

This is a dangerous and pervasive myth. ( Most people only have SS,,,,no retirements).

You are assuming that everyone is living on SS alone and they are paying rent. Many people are, but many people are not. If you saved during your working life, have a pension and SS, and paid for your home, you could live quite comfortably retiring at 62. My wife and I thought about retirement during our working lives and retired at 62, nine years ago. We are still saving and have not touched our 401K's to date. Everyone's situation is different. The trick is to start saving a small amount regularly at a young age. Over time, that small amount becomes substantial. A home purchase is usually a good hedge on inflation.