fbpx

A Change to Social Security

A Change to Social Security

Social Security may be in jeopardy: The latest projection from the trustees of Social Security and Medicare shows that the program won’t be able to pay out full benefits by 2035 if Congress makes no changes. The program is already running low on funds, and there have been budget cuts over the past few years.

This is just one reason why you can’t rely solely on Social Security in retirement. Most recently, the Social Security Administration has slowly stopped mailing out most Americans’ Social Security benefit statement and encouraging people to access their statements online. From 2012 to 2018 the number of people who reviewed their online statement dropped from 96% to 43%.

The research shows that when these statements are only available online and are not mailed to recipients, they are less likely to make the optimal decisions when claiming their benefits. So if you’re under 60, be aware that the only Americans who will still receive paper benefit statements are those 60 and over who have not claimed their benefits and did not set up an online account. Most important, if you are nearing the age at which you’ll claim benefits you should create an online account and check your statements regularly.

Research shows that when people review their Social Security benefit statements they are less likely to claim at a younger age, as if you claim before your full retirement age your benefit will be reduced. Working longer and waiting to claim at, or past, your full retirement age could be a strategy to get the most out of your Social Security benefit. If you wait until age 70 to claim your benefit, it could be up to 132% of your benefit if you had claimed it at your full retirement age. However, there are many factors to consider when deciding when to start collecting.

To make an online account, either look for a letter with an activation code or go onto the Social Security administration’s website and use a valid email address to create an account with your Social Security number and address.

Even if Social Security is not in jeopardy, it’s important to have a comprehensive retirement plan in place. The professionals at Peak Financial Freedom Group can assess your finances and help to create such a plan for you. Take the first step by clicking here to schedule your no cost, no obligation financial review today.

Comments (13)

Leave a Reply

Your email address will not be published.

Peak Financial Freedom Group
2520 Douglas Boulevard, Suite 110
Roseville, CA 95661

DISCLOSURE: All presentation data is provided and intended to be used for general educational purposes only and is not intended as a solicitation for you to buy or sell any financial product. None of the material in this presentation is intended to give you, nor are the presenters engaged in giving you, specific tax, investment, real estate, legal, estate, retirement, or financial advice, but rather to serve as an educational platform to deliver information; nor is it intended to show you how the strategies presented can specifically apply to your own tax, investment, estate, financial, or retirement position, but rather to offer an idea of how these principles generally may apply.

Stocks, bonds, or mutual funds have risks and can lose principal, even with a stop loss, and there is no guarantees of gains, as past performance is not indicative of future positive investment results. The sale or liquidation of any stock, bond, IRA, certificate of deposit, mutual fund, annuity, or other asset to fund a new portfolio and/or annuity may have tax consequences, early withdrawal penalties, or other costs and penalties as a result of the sale or liquidation. You can’t invest directly into a stock market index. A fixed index annuity with an income rider can protect your savings from losses and provide you guaranteed lifetime income, but you could incur surrender charges, gains aren’t guaranteed, you’ll pay a fee, and guarantees are backed by the financial strength claims paying ability of the issuing annuity company.

Illustrations/projections displayed within this presentation are hypothetical in nature and should not serve as the sole determining factor in making financial decisions. Consult with a qualified investment, tax, legal, and/or retirement advisor before making any decisions. By contacting Peak Financial Freedom Group, you may be offered additional information regarding the purchase of financial products. Seminars, radio shows, TV productions, book releases, magazine and book promotions are sponsored, promoted and paid for by Peak Financial Freedom Group, LLC. If you place assets under management with our firm, we are paid an advisory fee, and if you purchase an annuity from our firm, we are paid commissions from an insurance company.

Investment Advisor Representatives of and Advisory Services offered through Fiduciary Solutions, LLC, a Registered Investment Advisor. Peak Financial Freedom Group LLC is primarily a fixed insurance sales organization and provides no Advisory Services. PFFG Insurance Agency LLC, CA License #0N14103, is a licensed insurance agency and provides no Advisory Services. Peak Financial Freedom Group LLC, PFFG Insurance Agency LLC, and Fiduciary Solutions LLC are separate affiliated entities. Insurance products and services provided by PFFG Insurance Agency LLC and independent agents.

Jim Files CA Insurance License #0F06511 Dan Ahmad CA Insurance License #0732913

© 2020 Peak Financial Freedom Group