Investors with portfolios, IRA’s, annuities and other assets sometimes marginalize the value of Social Security, but this can be a big mistake. If you’ve been a high-earning taxpayer, live long and make smart Social Security claiming choices, the present value of a successful couple’s benefits can be as high as $3,504,000 or more – that’s how much you would have to have invested in a pension to match the income stream. And if you play your tax cards right, the after-tax value could be much, much more than a pension. That’s a serious asset that deserves careful planning. But could you be You Missing Your Fair Share of this Rich Cash Flow?
If you have an investment accounts of even a few hundred thousand dollars or more, making the right Social Security “claiming” decisions can become very complicated, with taxes, joint mortalities, various benefit combinations and benefit ages all impacted by the rest of your unique wealth planning. The wrong choices on investment, IRA, and other planning could mean you needlessly pay tax on nearly all your Social Security! And wrong claiming ages and benefits choices by you and your spouse could mean a difference of hundreds of thousands or more in lost lifetime income if you’re not careful.
If you would like to learn more, I’ve written an investors social security guide that can help. Having enough income to afford a long, comfortable retirement is among the top goals of most Americans. Running out of money, not having enough for health or long term care, & being forced to rely on children or spend down their inheritance to make ends meet are among their greatest fears. And with over 50% of senior widows below the poverty line, leaving a spouse financially insecure is a grave concern. Avoiding the wrong Social Security decisions – navigating wisely among the dozens of confusing options – can go a long way to assure funding for the retirement you want. If you’re like most investors in our experience, you may not be getting quality input from your advisors on critical Social Security decisions. That’s why I wrote Maximum Social Security Income Strategies for Investors, to fill in this gap for investors. It’s yours for the asking.
