When To Begin Taking U.s. Ss Payments

[davewe]

 

 

If that ever did happen, I am 99% sure that all current retirees would be grandfathered in and no change would happen. Lots of precedence.

 

Politicians find ways to go around the rules and regulations that they previously created. The Social Security reserves are rapidly depleting so the temptation is to reduce the benefits to make it last. One area already under consideration is not giving or reducing SS benefits for retirees whom the government feels does not need it. If you receive retirement income above a certain level, the new proposed law can reduce or take away all or some of your Social Security benefits.

 

There will be blood in the streets if our rulers try this one and they know it.

 

Yeah, but it'll be pretty old blood :)

[Vince Runza]

I'm 62 and a widower. I'll be applying for Survivor benefits now, and wait until age 66 to get my own SS benefits.

Turns out my Survivor Benefits will always be more than my own (unless I get tons of revenue from book sales and put a portion of it into my own Social Security account before I reach 66). Therefore, I will get Survivor Benefits as long as I survive!

[usnftcret]

I am 61, so I am coming up to a decision point for taking my Social Security.  I can take a reduced amount at 62 or increasingly larger amounts the longer I delay taking it.  I am fully vested at 66 years old, which means I won't  be penalized for my military pension or if I take a 401K distribution.

 

The real question is how to maximize my return.  You can find out your projected monthly income online now.  You can go to the website: www.ssa.gov/myaccount.  I found that my projected SS payment would be about $1800 per month if I took it at 62, $2,400 at 66 and $3,200 at 70. 

 

So, the question is how much do we need and when to start.  I did a simple projection, ignoring the time value of money (I forgot all those formulas long ago).  I found the following results:

 

• Beginning at 66: if I live till 80, I'll get $406,000; if I  live till I'm 90, I'll get $696,000.
• Beginning at 70: if I live till 80, I'll get $400,000; if I live till I'm 90, I'll get $800,000.

Obviously, I plan to live till I'm at least 95, but we all know that is not a given.  Even though I'd make more money by waiting till I'm 70, I have to take quality of life into account.  I am in good health and I don't smoke.  I drink moderately.  But, after 80, it is pretty unrealistic to think I'll be traveling the world like I do now. 

 

Given all the variables, I'm going to begin taking my SS at 66 so that I can receive a nice check and have money while I'm still healthy enough to enjoy it. 

 

I know lots of you are making the same decision.  I hope this helps out.

 

Military pension and retirement account distributions are not earned income so you will not have a SS offset if you decide to take early SS pension at 62.

[usnftcret]

 

I hate reading about all you guys and your SS pensions! Yes. We have CPP in Canada but anything I collect, the bsdtards deduct from my military pension. So, in my case? Why bother collecting?

I didn't know that about the Canadian pension system.  I'm a military retiree, and I'm hearing that they are considering that same thing in the U.S.  They may deduct a portion of your military retirement, even though you contributed to SS when working.  It is really a B.S. system for sure!

 

 

I have not heard about this legislation. What is your source?

[PhilD]

Has anyone here ever applied for U.S. Social Security benefits while already living in Philippines ?
I'm thinking of coming there in a small private pension of just over $1,000 at 60 and then applying for SS at 62 which will bring my total monthly to $2,300 or so.

[OnMyWay]

Has anyone here ever applied for U.S. Social Security benefits while already living in Philippines ?

I'm thinking of coming there in a small private pension of just over $1,000 at 60 and then applying for SS at 62 which will bring my total monthly to $2,300 or so.

 

You can apply through the U.S. embassy SS office in Manila.  They have been good about answering my e-mails, so you could contact them if you have any specific questions about applying while you are living here.

 

http://manila.usembassy.gov/wwwha013.html

[chris49]

Has anyone here ever applied for U.S. Social Security benefits while already living in Philippines ?

I'm thinking of coming there in a small private pension of just over $1,000 at 60 and then applying for SS at 62 which will bring my total monthly to $2,300 or so.

Yes that will be no problem at all. It will require one visit to the SS at the Embassy as recommended 3 monthsbefore your birthdate.

The money must be remitted to the Philippines. And the money must be collected within the bank, no ATM, within the same branch you opened the account. And the Dept of SS is going to explain that fully.

Rationale: there are safeguards in place in case you pass away, and the money would still be coming to the account. So there's no flexibility in that. But the money is always on time and you get US Dollars in your hand.

[Nephi]

After reading stats online, I decided to take an early draw on my US Social Security and started last year at 62yrs old. 

The early draw amount is lower than at an older age. Figured though that we would do better collecting now. Overall, stats showed that longevity would lower the overall amount we would receive. 

 

I have it direct deposited to a Philippine bank, Social Security dollar account. We then have another joint peso account where we put the social. Never has been a problem or issues with collecting.

 

 

 

Regards

 

Nephi

Edited January 4, 2016 by Nephi

[manofthecoldland]

Social Security started around 1935 when many Americans died around age 65. The benefits were designed to assist those who lived longer.

    I'm glad you mentioned this. Its probably irrelevant now-a-days since our society has evolved into a semi-social democracy with a host of social safety nets for the unfortunate (yes... many opportunistic, free-rider abusers as well... but let's not get into that here for now) souls who didn't or couldn't plan for their old age. 

    If you are a student of history... or bother to look into it a bit... I seem to recall that the whole concept was to aide the extreme elderly (by the standards of the day) from starving to death and living in ultra-extreme poverty if they were unfortunate to have no supportive family structures to aide them. 

    It was never designed to become a retirement income source, but evolved into such to some degree. 

    At the current time with the current economic/social status quo, its a financial cornerstone for many for their last 10-20 years of life.  

    We can warp it into a 'retirement income' in a low level economy today, but all it was ever designed to do originally, was to keep you from starving to death and living in desperate, ignominious fear before as your body failed you.

    We may well be heading back towards its original legislative intent. The Great Depression is long passed, but the Great Recession is still affecting us.    

[Mr. Bobo]

My advice to anyone is take your social security at age 62 if you can. Do the math. You will get 75% of your full benefit at age 62 vs 100% at age 66. To keep the math simple let us choose a full monthly benefit of 2000 dollars at age 66. If you elect to take 75% of the 2000 at age 62 that means that your monthly benefit will be 1500 dollars a month. In the four years (age 62-66) that you collect the 1500 a month your total dollars collected will 72,000 dollars (48 months times 1500). Now divide 72000/500 (the 500 being the difference 1500 dollars benefit and the 2000 dollar benefit, 72000/500 = 144. That means the it will be 144 months before you start taking a loss, 144 months is 12 years. That means you will be aged 78 before you start losing money. In the US the average male life expectency is 78 years. I think that most people would probably enjoy spending the money sooner while they are still young enough to enjoy it, age 62-66, rather than later, at age 78+, that is if they live that long. Think about this, there are 75 million baby boomers in the US, many are already collecting their SS benefits and rest are rapidly approaching retirement age. The politicians have been “raiding” the SS trust fund for years and it is only a matter of time before the piper must be paid. Take the money now before the SS trust fund dries up!