Taking SS early (62)

[SDHNTR]

SS may not be as guaranteed or as generous going forward......and that IS guaranteed.

Nor should it be. Younger people have plenty of time to plan, if they are paying attention. You have to understand which concessions are actually on the table. Congress may haircut the younger set’s future benefits decades from now, but they aren’t clipping current or near future benefits from boomers. The lobby is too strong.

 

[RyanT26]

Nor should it be. Younger people have plenty of time to plan, if they are paying attention. You have to understand which concessions are actually on the table. Congress may haircut the younger set’s future benefits decades from now, but they aren’t clipping current or near future benefits from boomers. The lobby is too strong.

Everyone had plenty of time to plan, boomers especially.
Congress should provide an option to opt out of the program. Knowing the rate of return that could have been with the money they take is depressing.
Or at least at least change it to where accounts are personalized, the money that you and your employer put in is what you get back…….maybe if you live long enough.

 

[RWT]

It’s called “Social” for a reason. I am covering the cost of every lazy loser that doesn’t want to put in the effort to better themselves by making enough to contribute the maximum amount. I’ll never fully receive the benefit of what I’ve put in. I would need to live to be 100+. I have no issue with having an OPT out available. We as a society are to concerned with being “evolved” and taking care of those that can’t OR wont take care of themselves. We have lost the law of natural selection.

We have enough generations and knowledge that even those of us with a public school education understand save early and let compounding do the work. At some point the system needs to correct itself for those who are too lazy to bother. My supposition is the correction is coming with either older age to receive their version of full benefit or the full benefit will be reduced overall. It won’t happen NOW, but it will have to happen to maintain solvency.

My SS$ is budgeted for travel and hunting. These are lifestyle choices and not required to live comfortably in retirement.

I’ve spoken with 3 different “ advisors” and the focus is clearly on increasing MY portfolio for their benefit as much as mine. When I look at the figures I can’t justify paying a firm or person $250-400K over my lifetime to tell me I was right to begin with.

 

[sodaksooner]

Yeah, it's crazy. I did a town hall for our folks at work this am and when I talked about 401k it was just blank stares. Obviously have a few that get it, but man, we match pretty well as a company and that is just free money. Then 30 years from now when they want to retire and have no money they want to suck off the govt tit. Don't get me wrong I am going to take my SS as I've paid into it my whole life, but without IRA's and 401K's, no way could I afford it off of SS. I am seriously debating retirement at 62. I"ll probably work part time for fun, but tired of 2 hours of commuting every day for sure....lol.

 

[mtwarden]

but they aren’t clipping current or near future benefits from boomers. The lobby is too strong.

I think you’re spot on. Political suicide even talking about cutting benefits from those already receiving them.

Raising the age, reducing benefits or possibly an opt out for younger folks is probably an inevitably.

 

[SDHNTR]

Everyone had plenty of time to plan, boomers especially.
Congress should provide an option to opt out of the program. Knowing the rate of return that could have been with the money they take is depressing.
Or at least at least change it to where accounts are personalized, the money that you and your employer put in is what you get back…….maybe if you live long enough.

Yes, selfishly I’d love to see it as optional too. But I don’t think that would work for most. We’ve proven that as a lot, Average Joe is a terrible saver.

 

[LostArra]

Raising the age, reducing benefits or possibly an opt out for younger folks is probably an inevitably.

Also raising the taxable income limit.

I don't see the nanny state lawmakers allowing an opt out

 

[j3h8]

Nor should it be. Younger people have plenty of time to plan, if they are paying attention. You have to understand which concessions are actually on the table. Congress may haircut the younger set’s future benefits decades from now, but they aren’t clipping current or near future benefits from boomers. The lobby is too strong.

I am a believer that SS should be done away with for future generations that have not yet begun paying in. Give incintive to invest in the general market or a linear approach where individuals can see their money grow. This can be forced investing as well. Also, teaching fincnances and investments basics in high school would go a long way. Everything I've gleaned about retirement income/preparation is from my own research or through conversations with others preparing for retirement.

 

[SDHNTR]

I am a believer that SS should be done away with for future generations that have not yet begun paying in. Give incintive to invest in the general market or a linear approach where individuals can see their money grow. This can be forced investing as well. Also, teaching fincnances and investments basics in high school would go a long way. Everything I've gleaned about retirement income/preparation is from my own research or through conversations with others preparing for retirement.

I agree with you completely. At least on a conceptual level. We would need systemic change and early education. Americans, when uninformed and left to their own devices, have unfortunately proven to be a danger to themselves.

Here we are 40 years later after the massive societal transition from defined benefit to defined contribution plans and most Americans missed the memo.

 

[sodaksooner]

I agree with you completely. At least on a conceptual level. We would need systemic change and early education. Americans, when uninformed and left to their own devices, have unfortunately proven to be a danger to themselves.

Here we are 40 years later after the massive societal transition from defined benefit to defined contribution plans and most Americans missed the memo.

Hey I have two pensions coming...lol. One is worth about $50 per month and one is about $350(I was actually very surprised it was that much). Should pay the internet bill in another 10 years. That said, my wife was in education and has worked for the state most of her career and will have a nice one in addition to our savings.

I do like having control of my own stuff and have done well based on my expectations. While certainly not getting rich, we shouldn't have to lower our standard of living too much. I wish I had had control of all that cash we had dumped into SS over the years. I'd retire right now (at 58)

 

[Freewilly]

I retired at 63 and took my social security at that time. Retirement to me is about enjoying the last quarter of life. If you wait to long, physical issues will crop up and hamper your retirement.
My opinion

 

[pacoalcracker]

put the entire SS hoard into bitcoin and watch it balloon to the stratosphere.....what the hell, it's going broke anyways so might as well try something that has been working.....

 

[Freewilly]

What j3h8 says above is so vital

A high school course that can help you lay out a long term strategy. Backed up with success stories that demonstrate how important it is to save no matter what your income is. Not only to save, but investment skills ,risk and financial rewards.
Also, employers can help. I brought this idea up to my former employer, had approximately 7000 employees. Hr looked into it and responded that they didn’t think it was worth it a less than 5% of employees even participated in the 401 k plan.

Sorry for the long reply

 

[pacoalcracker]

Teachers are overwhelmingly democrats, and they don't really want the general population to do well...why do you think American student educational levels are so terrible and have been for decades. We are so far behind every other 1st world country that America isn't even in the top 20 of nations. High school grads are hard pressed to do 8th grade math, and you think education in personal finances would matter? I can't wait until AI replaces every one of those teachers...and it's a reality that's coming no matter what. I will bet that 10 years from now that will be the case and I'm being generous on that timetable.

 

[49ereric]

Teachers are overwhelmingly democrats, and they don't really want the general population to do well...why do you think American student educational levels are so terrible and have been for decades. We are so far behind every other 1st world country that America isn't even in the top 20 of nations. High school grads are hard pressed to do 8th grade math, and you think education in personal finances would matter? I can't wait until AI replaces every one of those teachers...and it's a reality that's coming no matter what. I will bet that 10 years from now that will be the case and I'm being generous on that timetable.

Where I live teachers are mostly Repubs.
Both parents are working so educational help at home is minimal there lies the issue.
we are behind because most western countries have free college so even the poor kids can get educated.

 

[SDHNTR]

Teachers are overwhelmingly democrats, and they don't really want the general population to do well...why do you think American student educational levels are so terrible and have been for decades. We are so far behind every other 1st world country that America isn't even in the top 20 of nations. High school grads are hard pressed to do 8th grade math, and you think education in personal finances would matter? I can't wait until AI replaces every one of those teachers...and it's a reality that's coming no matter what. I will bet that 10 years from now that will be the case and I'm being generous on that timetable.

No teacher, Democrat or Republican, “doesn’t really want the general population to do well”. That is utter nonsense and highly offensive to the profession. The vast majority of teachers enter the profession to do exactly the opposite and God bless em for it!

 

[Mule3006Elk]

With my luck I'll die at 66. I'm drawing at 62 when the times comes. With my retirement I won't need the money but I want to get some of my money back for as long as I can. I haven't ran the math. Total $ for 5 years (62-67), how long will it take me drawing at age 67 to make up the difference? My guess is I will die and never make up the difference.

 

[pacoalcracker]

49, you are lucky. You pay hefty school taxes to pay teachers......teachers are supposed to teach. In the 60's and 70's teachers taught and even then, parental help at home was not widespread or needed because teacher taught. Not the case for the past 20 years. Kid's are dumb as a freaking rock and most can't even figure change at a register even when it's telling them how much to give back. It's pathetic and I won't hear any excuses for these overpaid over benefitted and politically motivated horrible teachers that not only didn't teach but made our kids lazy. Just look around....if you can't see it you need an exam from the neck up.

 

[pacoalcracker]

SD...bullcrap. If teachers taught, we would not be so far down the list of nations for education. It didn't happen by accident. Please explain why this is so, if teachers actually wanted to teach at their best ability. Sure, they might have had great intentions entering the classroom but were brought down to the bottom soon after and just gave up because the entire system is horrible and the teachers unions are largely responsible. SD, go back to bed and dream some more about how teachers and education in general are great while graduating students can't read, comprehend and do math. There is a reason most large companies rely so heavily on HB-1 visa programs for top student talent. They have no choice. Education here is a dumpster fire.

 

[RyanT26]

49, you are lucky. You pay hefty school taxes to pay teachers......teachers are supposed to teach. In the 60's and 70's teachers taught and even then, parental help at home was not widespread or needed because teacher taught. Not the case for the past 20 years. Kid's are dumb as a freaking rock and most can't even figure change at a register even when it's telling them how much to give back. It's pathetic and I won't hear any excuses for these overpaid over benefitted and politically motivated horrible teachers that not only didn't teach but made our kids lazy. Just look around....if you can't see it you need an exam from the neck up.

The good news is, it is a simple enough concept that I could teach it and I’m the dumbest person in most rooms.