When Should You Start Taking Social Security Benefits? – Pierson Wealth Management

As we are confronted with bank collapses, inflation and market volatility, it is important to have a comprehensive financial plan in place for a successful retirement. When reviewing plans and considering retirement income planning options, many are concerned regarding when to begin taking Social Security benefits. Although holding off on taking benefits allows retirees to receive a larger monthly payment, it is imperative to consider your income sources, financial needs, spousal benefits, health, life expectancy and the impact your decision has on taxes.
Start by reviewing your living expenses and determine your financial needs. Do you have other income sources, such as a savings, pension, 401(k) or other retirement funds to make ends meet before taking Social Security? Some retirees also prefer to continue working through retirement to keep busy and as another source of income. If these income sources are enough to fund your lifestyle and retirement goals, it may make sense to delay benefits to receive larger payments. Additionally, consider your health and potential life expectancy. If anticipate a long life expectancy, it may make sense to wait for a larger payment. Making an informed decision can mean the difference of tens of thousands of dollars of income in your lifetime.
Ultimately, the decision of when to start taking Social Security benefits is a personal one that depends on your individual circumstances. If you have questions regarding your retirement income planning options, reach out to us at (661) 297-7566 or Ivy@PiersonWealthManagement.com.
Securities and advisory services offered through Cetera Advisors LLC (doing insurance business in CA as CFGA Insurance Agency LLC CA Insurance Lic#0132305), member FINRA/SIPC, a broker/dealer and a Registered Investment Adviser. Cetera is under separate ownership from any other named entity. Ivy Pierson CA Insurance Lic#0C92500. For a comprehensive review of your personal situation, consult with a tax or legal advisor. Neither Cetera Advisors LLC nor any of its representatives may give legal or tax advice.