When planning for a secure retirement, a misstep with Social Security can cost you thousands.
It’s not just about what you’re entitled to; it’s about making savvy choices to maximize what you’ve earned.
Here are four critical mistakes that could significantly shrink your hard-earned benefits – and how to avoid them.
1. Claiming Benefits Too Early: The allure of early benefits at 62 is strong, but it’s a decision that comes with a hefty price tag. Early claiming reduces your monthly income, potentially leaving you with a fraction of what you could have had if you had waited. Patience can literally pay off, with increased benefits for every year you delay.
2. Overlooking Spousal Benefits: Many couples leave money on the table by not strategically claiming spousal benefits. You could be eligible for up to half of your spouse’s benefits, a tactic that can significantly enhance your retirement income.
3. Not Accounting for Taxes: Failing to plan for taxes on your Social Security benefits can lead to unpleasant surprises. Your benefits could be subject to taxation, depending on your overall retirement income. A strategic approach is essential to protect your benefits from heavy taxation.
4. Misunderstanding Survivor Benefits: In the unfortunate event of a spouse’s passing, survivor benefits become a crucial lifeline. However, many are unaware or misinformed about this aspect, potentially missing out on substantial financial support.
The stakes are high, and the rules are complex.
Navigating Social Security benefits is a critical component of your financial health in retirement.
Missing out on what you’re rightfully owed can mean the difference between a retirement of compromise and one of comfort.
As your financial coach, I am committed to guiding you through this maze.
Let’s collaborate to tailor a strategy that ensures you receive every dollar you deserve.
Your retirement should be a time of enjoyment, not regret over missed opportunities.
Schedule your complimentary consultation for a detailed discussion on how we can optimize your Social Security benefits and secure the retirement lifestyle you’ve envisioned. You can also get your copy of Retirement By Design and discover the decisions you can make today to ensure that your future retirement is everything you deserve to enjoy.
Investment advice offered through Copia Wealth Management Advisors, Inc.
Copia Wealth Management Advisors, Inc. is a registered investment advisor.
