"An investment in knowledge always pays the best interest."
                                                   - Benjamin Franklin, 1706-1790

Are You Ready for the Social Security Income Stretch?

Are you ready for the Social Security Income Stretch? 

It may mean the difference of $100K’s of income in your retirement years.

You could be earning a 10% bonanza like those running the stretch this year. One of the benefits of working with a Financial Advisor is that we can get you primed for taking advantage of what is available and often unknown.

When I was in my twenties, I was trekking in high altitude Tibet and discovered my legs felt like lead if I attempted to run.  Two guys I met during my backpacking adventures agreed to travel into the interior of Tibet with me to visit a famed monastery.  I knew we would have to get up early and make a dash from our cheap hotel to the bus terminal to catch that one bus going that day.  I cautioned the two fellows not to eat the very popular 'youtiao' for breakfast - a long tube of deep-fried dough like a tubular doughnut - but instead join me for a jar of Tibetan yogurt with strawberry jam to make it tasty.

They scoffed at my idea that a high protein breakfast would make a big difference in making that early bus over the long popular 'youtiao' breakfast.  We agreed to head out separately for breakfast and then meet up for our dash to the bus terminal.  When we met up with our heavy backpacks, I found them walking at a turtle's pace. It became incredibly clear we would not make the bus if I did not run ahead and beg the bus driver to wait.  They conceded the popular breakfast was not the best choice.  I was able to run with my backpack, looking back laughing, and convinced the bus driver to wait for the two pitiful beings inching toward the terminal.

This reminds of the big difference between the popular mindset of turning on Social Security income as soon as one is able versus those who are thinking about how to afford the longevity we may receive.  In order to be able to resist turning on Social Security Income until it has achieved its maximum value for you at age 70, you have to have primed yourself financially for the Social Security Income stretch.  Implementing wealth management strategies now will leave in good position to turn on your benefit when it is most advantageous to your situation, not out of financial duress.

For those of my clients running the Social Security Income stretch, this year's reward for them is a 10% bonanza.  Social Security gave a 2% cost of living adjustment increase across the board for 2018.  They also received an 8% increase to their income benefit that Social Security gives to those who are holding off on the popular ‘youtiao’ of turning it on.  Hence 2% + 8% = 10% increase to their Social Security income benefit this year. 

Are you primed for taking advantage of the boost in Social Security Income benefit that will be available to you in your late 60’s?  Contact me and let's figure out what you can be doing now to be primed for the stretch when it's your turn.

Let's talk,

Monique

Financial Advisor - Philadelphia

Photos shown: Yak-skin boat ride we took in Tibet - because we successfully caught that bus!