Question: Financial consultants suggest postponing Social Security (SS) payments to 70 if you can manage it. Based on my analysis I discover that:
Presuming 0% return the breakeven in between taking SS at FRA or 70 years is roughly 84 years. If one invests these payments at 4% per year, the breakeven is 92 years. Getting a rate of return higher than 4% presses the breakeven even further out. Intuitively, it makes good sense– the quicker you take SS, intensifying boosts the worth greatly hence extending the breakeven duration.
WHY do monetary coordinators suggest postponing Social Security if the funds are not required for day to day living? I would concur with their hold-up to 70 years suggestion if one lived to be 98 or more however why take that possibility? FYI– I did rule out survivor advantages in my computations … ideally one partner follows the other to the pearly gates within a couple of years of the left. Your ideas (not suggestions) will be considerably valued.
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