Getting the most out from Social Security post pandemic

Thirty nine percent of those recently surveyed by Nationwide Insurance don’t know at what age they’re eligible to receive full Social Security benefits, and 70% said they wish they knew more about this complex topic. In general, if you don’t need Social Security income to make ends meet, there are huge advantages for delaying your benefits as long as possible. For every year past the minimum retirement age of 62 you wait, up to age 70, you’ll receive an 8% increase in payments. And if you wait until your full retirement age (65-67 depending on the year you were born) your benefits won’t get cut if you’re still working and earn over a certain amount. Unfortunately, these scenarios become more complicated at the household level. For example, if you and your spouse were born before 1954, you may be able to claim spousal benefits. If you’re divorced you may or may not be able to claim some of your ex-spouse’s benefits.  And if your annual income is above a certain level, between 50%-85% of your benefits may be subject to federal taxes. It’s critical to view any Social Security scenario within the context of your overall life expectancy and retirement planning strategy, which should consider projected future expenses—including Medicare and long-term care costs--and additional income from part-time work, pensions, 401(k) plans and IRAs. Given the complexity of these issues, you may want to work with a fee-only financial advisor who can help you make more holistic retirement planning decisions. However, it’s important for the advisor to fully understand the rules around Social Security and Medicare. If they don’t, they should have access to accredited professionals who can help them—and you—make these critical decisions.  

Om Podcasten

Whatever life after 50 looks like to you, thinking about money in retirement shouldn’t keep you up at night. We’re all dealing with the big questions about money and aging: How much you can really spend, how to invest your life savings without risking it all in the stock market, and should you sell your home and downsize? Then there’s the biggest unknown: how much health care you’ll need, and whether your savings and insurance is enough to cover the costs. This is personal. These topics may not be easy to talk about with your own family. That’s why nationally known personal finance experts Terry Savage, Richard Eisenberg, and Pam Krueger and are here to open up the dialogue so you can learn how to define your retirement and deal with your money on your own terms. These three friends think, write, and speak about these issues. And now they’re joining forces to give you the benefit of their experience, wisdom and advice in their new podcast, Friends Talk Money. Each week Richard, Pam and Terry will discuss a different piece of the retirement pie. Everything from Social Security and Medicare to investing and cash flow management is on the table, with practical, common-sense advice on how to deal with these and other challenges. But don’t expect cut-and-dried answers. These friends have strong opinions, and aren’t afraid to debate the pros and cons of their friends’ recommendations. But what you will walk away after each episode is a greater awareness of the retirement planning issues you’ll need to address with the help of your family, friends and financial advisor.