Message Font: Serif | Sans-Serif
No. of Recommendations: 0
So by taking SS early, we will end up saving our accounts $120k by the time we're both 66. And the standard 4% annual withdrawl from $120k is almost $5k per year. So you could look at it as us having an extra $5k per year from the portfolio that we wouldn't have if we waited to 66 to start SS. So the higher amount of SS we would have gotten if we'd waited would have to make up for not only not collecting anything for those four years but also for a $120k depletion of our savings/investments.

Thank you for explaining this perspective so clearly, fle9bo. I also see starting SS sooner as an asset-sparing technique to be weighed against the higher SS benefit if you delay. It's not that I can't afford to use my assets alone (for a time, anyway), but that I'm not convinced it's logical to do so.
Print the post  


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.