What you should know about drawing social security income

Social secruityMany people don’t know that you can start receiving Social Security retirement benefits as early as age 62 or as late as age 70. The monthly benefit amount you are eligible to receive will vary based on the age at which you start receiving it. In this post we will share some tips and information to help you plan for when to apply for your SS benefits.

If you choose to start receiving your SS benefits early, they will be reduced based on the number of months you receive them prior to reaching full retirement age. The amount of the reduction will depend on the year you were born.

If you have excess earnings, some of your SS benefits may be withheld until you reach full retirement age. At that time, the Social Security Administration will recalculate your benefit amount and give you credit for any months in which you didn’t receive SS benefits because of excess earnings.

If you wait until full retirement age to apply for benefits, your benefits will not be reduced. If you decide to delay your SS benefits until after full retirement age, your benefits will be increased based upon the number of months you didn’t receive benefits between full retirement age and age 70.

If you hold off until reaching full retirement age, be sure to apply within 6 months of attaining full retirement age. The Social Security Administration will only pay benefits for the previous 6 months. So don’t delay in applying!!

Once you reach age 70, there is no additional benefit increase, even if you decide to delay taking your SS benefits.

Be aware that the Social Security Administration pays SS benefits the month after they are due. So if you want your SS benefits to start beginning in January, you will receive your first check in February. Be sure to factor that one month “delay” into your calculations and planning.

If you have questions about social security or the timing of your retirement benefits please contact Newman Elder Law at 267-288-5765.

https://www.ssa.gov/planners/retire/applying1.html

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