4 Social Security Basics to Help You Optimize Your Income Tushaus Wealth Management

Social Security benefits are an essential source of income for many retirees. However, the claiming process can be complicated, and the wrong decision can cost you thousands of dollars in benefits over your lifetime. To help you make the most of your Social Security benefits, we’ve put together a list of the best claiming strategies.

  1. Delay Your Claim

One of the most effective strategies to maximize your Social Security benefits is to delay your claim. By waiting until you reach full retirement age, you can receive a higher monthly benefit. For every year you delay claiming benefits beyond your full retirement age, your benefit will increase by 8%.

  1. Claim Spousal Benefits

If you’re married, you may be eligible for spousal benefits, which can be up to 50% of your spouse’s benefit. This strategy can be particularly beneficial if one spouse has a significantly higher lifetime earnings record. To qualify for spousal benefits, you must be at least 62 years old and your spouse must have already claimed their benefit.

  1. Claim Early, Invest the Money

While delaying your claim can result in a higher monthly benefit, sometimes it makes sense to claim early and invest the money. If you have significant assets and expect to live a long and healthy retirement, claiming early can provide you with additional funds to invest and grow over time.

  1. Consider Your Overall Financial Picture

When deciding on the best Social Security claiming strategy, it’s essential to consider your overall financial picture. This includes your retirement savings, pension benefits, and other sources of income. By taking a holistic approach, you can make an informed decision that aligns with your retirement goals and objectives.

Social Security benefits are an essential source of income for many retirees, and the claiming process can be complex. By considering these strategies and working with a financial advisor, you can make the most of your Social Security benefits and enjoy a comfortable retirement. If you want to maximize your Social Security situation, contact us today!

 

Keep in mind, this article is for informational purposes only and not to be construed as financial or investing advice, nor is it a replacement for real-life advice based on your unique situation. Investing and retirement account rules are constantly changing, and it is recommended that you work with tax and financial professionals who specialize in retirement.Investment Advisory Services are offered through Tushaus Group, LLC, a registered investment adviser.

Tushaus Group, LLC does not provide tax or legal advice.