Social security is a literal lifeline for many americans after they retire. Numbers show that about 60% of seniors need social security to cover half or more of their income. The amount that most will claim from social security is well above Medicare, which makes social security massively important. It can be difficult to decide when the best time will be to apply, though. When will you be able to best take advantage of those benefits? Here are some tips to help you get the most out of social security by asking yourself some basic questions.
How is my Health?
Your health prospects going further will go a long way towards determining whether you should take an immediate payout or allow your social security to grow monthly. It is not a perfect science, but you can make a decent guess based on certain factors. For instance, you should consider your family history, your personal health history, and whether you have any current chronic conditions. When you factor everything in, you can get a rough estimate of how long your life expectancy might be. If you can afford to wait until your benefit gets even larger, perhaps until you hit 70 or 75, then you will be much better off.
Who Else Might be Impacted?
You should always take the impact on others around you into consideration as well. If you have no dependents and are not married, then you only have to worry about yourself. Otherwise, always take into account your spouse or any dependents. If you are the higher earning spouse and have filed for benefits prior to retirement age, and pass away first, then the survivor benefit for your spouse may be lower. All decisions should also be aimed towards maximizing your benefits while you are both alive.
How Much Will You Rely in it?
The main thing to remember is that the more reliant you think you are going to be on social security, then the more benefit you will get from waiting. Many people enroll too early because they have very little savings. The problem with this is that it means you will end up being very reliant on social security, and applying too early means your benefit will be lower in your later years.
Ask yourself these questions when you are trying to decide when to apply for your social security benefits.
If you’re in need of legal counsel for an issue involving social security, contact the experienced professionals at Gustad Law Group. Reach out to us online or call 206-533-2222.