We are hoping Hubby can wait until he turns 70 since his Federal employee pension starts this month and we have savings to draw on. The rationale is that then his will be higher than mine so if he dies first I will be able to collect a higher amount. Who knows if this is the right decision!
How have you, or are you thinking about, when to collect your Social Security?
I started collecting social security at 64, the same time I started getting my pension. For about a whole year after I retired I found it amazing to get money for NOT working.
ReplyDeleteI agree although we certainly paid into the system! I know it does not cover all payments but I've paid a lot of taxes too. Hubby stayed at his Fed job for 20 years to maximize his pension so that will be helpful although it is just one piece of retirement income not a large piece as the old pension plan was.
Deletemine was a widow's pension from my husband so I took it at 60, otherwise Imight have waited. LIke your hubby that goes with the federal pension.
ReplyDeleteI imagine I would have done the same thing in your situation. Best laid plans and all that!
DeleteI think every person has a unique set of circumstances. Our accountant projected the pros and cons of taking benefits at different ages. Since I'm a two-time cancer survivor it made sense for me to draw SS early. If I live past my mid-80s, then it will have been the wrong choice. But the way I look at it, if I live to that age, I'll be absolutely thrilled and willing to lose a few bucks!!
ReplyDeleteYou are so right that it is individual and unique to each person's situation. We have been revisiting our decisions at least yearly and Hubby won't even be 65 until the end of November so who knows what we will actually do.
DeleteI worked for 25 years in the Texas public schools and paid into the Texas Retirement System (TRS). Before that, as a youngster I paid into Social Security, and again in various part-time jobs I worked while working full time in the schools. Sadly, public school teachers in Texas who pay into TRS (we have no choice) do not pay into SS and are not entitled to draw SS even though they have enough credits. So I am having to forfeit my SS. I really think this sucks.
ReplyDeleteIt does!
DeleteI am still so far from being eligible to withdraw I can only dream what it will feel like, so I much enjoyed reading about your experience.
ReplyDeleteDetermining when to draw is such a conundrum! My spouse wants us both to wait until age 70, but I'm more inclined to thing FRA makes more sense (66 for him, and I think somewhere just before 67 for me?). My argument is that we should take it sooner than 70 so that we have the energy to enjoy it. We are so adequately funded for retirement it will be our beneficiaries that benefit at the end of the day, so why on earth defer longer than FRA? My thoughts on it at least.
I see your point. We revisit all of these types of decisions each year but right now we are paying for Hubby's Medicare out of pocket with mine coming out of my SS payment. If he became ill with a limited life span predicted I imagine we would take his SS sooner.
DeleteHubby and I both have heart conditions. In fact last year, my husband almost died. He was 58-59 at the time. The both of us will be taking SS at 62. He already started collecting on his pension, as it is apparent that hubby is working less and less and we need the income. Because of this we have downsized our lives drastically to meet the new reduced level of our income. Still, 40% of our income comes from our savings. We don't plan on leaving our children an inheritance.
ReplyDeleteHealth can really play a big part in the decision as to when to start SS. I hope your plans work out well and both your health improves.
ReplyDelete