Estimated read time: 4-5 minutes
Did you know that if you made an average income throughout your career, your social security benefits could add up to hundreds of thousands of dollars in lifetime income? And if you made an above-average income, your benefits could be worth more than a million dollars.
It's an astonishing amount of money, isn't it?
Sadly, the majority of people still make critical errors when they file for social security, causing them to forfeit hundreds of thousands dollars in retirement income. According to Forbes, a staggering 96% of Americans lose an average of $111,000 in social security income. Just imagine what you could do with that kind of money in retirement.
Most people believe that filing for social security is a simple choice—should you file for your benefits early or late? But it's far more complicated than that.
This government-administered program is notoriously complex. The Social Security Handbook contains 2,728 rules, and there are thousands of rules about those rules. It's almost as if the system was designed to trip you up.
The Social Security programs are so complex it is impossible to include information about every topic.
–The Social Security Administration Handbook
Another pitfall to avoid is following some one-size-fits-all strategy—like delaying your benefits to yield a bigger benefits check. It's true that for every year you delay filing for social security, your benefits will grow by 8%. But delaying your benefits isn't the best strategy for everyone.
In fact, there are countless examples where delaying your benefits could end up costing you money. So, while a larger benefits check may impress your friends and neighbors, someone in an identical situation who receives a smaller benefits check could actually yield more net income.
It all comes down to how and when you claim your benefits. The timing will have a huge impact on your taxes, Medicare premiums, and even your eligibility for additional social security income.
You should not rely on 'rules of thumb.' You can only make your claiming strategy decision after you have addressed all the moving pieces that can affect your decision.
–Forbes
There's one more thing worth mentioning. By now, you've probably heard that the Social Security Trust Fund is in deep trouble.
The fund has been facing challenges for some time, but the pandemic made a bad situation even worse. A record 23 million people suddenly found themselves unemployed. As a result, tax revenue from 23 million paychecks vanished. To make matters worse, the 8.7% cost of living increase this year is the highest in decades.
This combination of reduced income and increased expenses has put a severe financial strain on the Social Security Trust Fund. And the latest projections indicate the fund could be depleted within just 10 years.
The Congressional Budget Office estimates that the retirement trust fund will run out of money in 2032 or early in 2033.
–Forbes
If Congress fails to take action in time, the consequences could be catastrophic, resulting in significantly reduced benefits. And when you're living on a fixed income, any loss of benefits could be devastating.
Given these challenges, how do you make the most out of your benefits today?
The solution doesn't have to be complicated. Filing for social security may be one of the most important financial decisions you'll ever make because the difference between your best and worst-case scenarios could literally mean hundreds of thousands of dollars in lifetime income.
If you attempted to learn all the rules and potential claiming strategies yourself, it could take months, if not years to sort through it all. And you could still make a mistake.
So here's the good news: we can save you all of that time and effort.
The B.O.S.S. team will create a social security analysis that's completely customized to your specific situation. Their proprietary software will pinpoint the optimal strategy that could help you achieve the highest net income from your benefits.
Normally, a customized analysis like this would cost hundreds of dollars. But B.O.S.S. will do all of the heavy lifting for you and they won't charge you a dime.
Their strategies are best suited for families who have saved at least $200,000 for retirement. To schedule your free analysis that could unlock the full potential of your social security benefits, click here.
About the authors: Ryan Thacker and Tyson Thacker are the president and CEO of B.O.S.S. Retirement Solutions. They are a five-time winner of Utah's Best of State Award and have six offices located throughout the Wasatch Front.
This is for illustrative purposes only, results may vary. Advisory services offered through B.O.S.S. Retirement Advisors, an SEC Registered Investment Advisory firm. Insurance products and services offered through B.O.S.S. Retirement Solutions. The information contained in this material is given for informational purposes only, and no statement contained herein shall constitute tax, legal or investment advice. The information is not intended to be used as the sole basis for financial decisions, nor should it be construed as advice designed to meet the needs of an individual's situation. You should seek advice on legal and tax questions from an independent attorney or tax advisor. Our firm is not affiliated with the U.S. government or any governmental agency. Marketing materials provided by Infinity Marketing Services.
