By Mike Gibbons, RICP®
It’s no secret that for most Americans these days, Social Security is a significant retirement asset. Born out of the Great Depression as a retirement safety net, these days a record high of around 180 million people are working and paying into the system that provides benefits for over 65 million people. (1) In fact, the majority of retirees get more than half of their income from Social Security. (2)
However, despite its importance, many people make incorrect assumptions or get overwhelmed by the details. Unfortunately, not having a complete picture of the system and how your benefits work could be financially devastating. If you’ve ever tried to understand Social Security or navigate the system on your own and found yourself confused, you are the perfect candidate for a Social Security review.
Knowledge Is Power
To say the system is difficult to navigate is a bit of an understatement. The reality is that the Social Security Administration provides you with more than 500 ways to claim Social Security benefits, (3) and the Social Security Handbook has around 2,700 separate rules governing your benefits. (4) As you can see, there is no one-size-fits-all claiming strategy for Social Security—not even close. There are several factors that play a role in the amount of benefits you receive and the ideal date for you to start claiming those benefits, including your health status, life expectancy, need for income, whether or not you plan to continue working, and how concerned you are about running out of money.
While having a strategy for when to begin Social Security benefits is important, it is also critical to analyze your Social Security benefits in conjunction with all of your retirement assets. Incorporating your benefits into an overall retirement income plan may make a world of difference in the amount of income available to you in retirement.
What To Expect
If you have questions (we know you do!) and want to make sure you receive every penny that’s rightfully yours, we are happy to offer you a Social Security review meeting. In our meeting, we will help you navigate and more effectively use your benefits before and during your retirement, as well as help you wade through the overwhelming number of Social Security options. We will discuss questions including:
How do I decide when to start collecting? Is it worth it to wait to collect my benefits until I reach full retirement age (FRA)?
Should I delay claiming past FRA to get a larger payment?
How are my benefits calculated?
How should I plan to maximize my total lifetime benefits?
Should my spouse and I coordinate to maximize our total benefits?
Can I work while collecting Social Security? If so, what are the limitations?
Our goal at Gibbons Financial Group is to support you in making well-educated decisions designed to protect your lifestyle and preserve and grow your assets so that you can reach your goals and ultimately experience a fulfilling retirement. If you aren’t already a client and need to make a plan for your Social Security benefits, or if you are a client and want to make sure your Social Security claiming strategy is still right for you, we encourage you to reach out to us by calling 224-419-5550 or emailing me at Mike@gibbonsfinancialgroup.com to schedule a complimentary consultation.
About Mike
Michael J. Gibbons is founder and president of Gibbons Financial Group, an independent advisory firm providing custom-tailored financial planning and investment management services to pharmaceutical and healthcare professionals and their families. Mike has over 25 years of experience and spends a significant portion of his day working with pre-retirees and retirees, focusing on asset management, Social Security and pension planning, as well as retirement income preparation.
Mike has degrees in both business and psychology from Lake Forest College and currently holds his Retirement Income Certified Professional (RICP®) designation from the American College. Mike was named a Five Star Wealth Manager for 2016 and 2018* Mike is heavily involved in his community, having served on the Village of Gurnee Police Pension Board as a Community Volunteer and the St. Patrick’s Parish Financial Board. When he’s not working or volunteering, Mike loves playing golf and spending his time with his wife and children. To learn more about Mike and how he can help you, connect with him on LinkedIn, visit his website, and register for his free webinar, Retiring Early From Pharma, created specifically for professionals retiring from the pharmaceutical, biotechnology, and healthcare industries.
*Award based on 10 objective criteria associated with providing quality services to clients such as credentials, experience, and assets under management among other factors. Wealth managers do not pay a fee to be considered or placed on the final list of 2016/2018 Five Star Wealth Managers.
Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual.
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(1) https://www.ssa.gov/pubs/EN-05-10024.pdf
(2) https://www.ssa.gov/news/press/factsheets/basicfact-alt.pdf
(3) https://squaredawayblog.bc.edu/squared-away/on-the-web/social-security-there-is-a-better-way/