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Greetings, Rgoldpet, and welcome. You asked:

<<Please correct me if I am way off. Is the marginal tax bracket only a guide as to where your income level is? That is if you are just below a new bracket say 31% vs 28% does it pay to worry about taking Social Security at 62? >>

Keep in mind that the marginal tax bracket is based on your taxable income. That's what's left after all deductions and personal exemptions have been taken. To determine whether and how much of your SS will be taxed, you start with adjusted gross income (that comes before deductions and exemptions) and add back half your SS and all unearned income (nontaxable municipal bond income for most folks). If you exceed certain threshholds based on your filing status (i.e., single or joint), then up to 85% of your SS will count as additional income and will filter down to your taxable income level to affect your marginal tax bracket. Depending on your total situation, they may or may not affect your decision to take SS at age 62.

And BTW... All you will really lose of the SS payment will be 31% of 85% based on your scenario. That means at most you would lose 26.4% of the age-62 SS payment. IMHO that's not an onerous burden to bear.

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