Why Millionaires Should Take Social Security at 62 (Your Advisor Won't Tell You This)

Comments · 337

• KY

  @KyleKuyat · 4 months ago · pinned

  Thank you so much for watching, if you enjoyed the video please like and subscribe! And if you&apos;re looking for help with your retirement plan, we&apos;d be happy to talk. <a href="https://definingwealth.com/book-an-explore-call/">https://definingwealth.com/book-an-explore-call/</a>

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• CO

  @covercalls88 · 1 month ago

  As a self employed, I took SS at 65 when Medicare kicked in at 65.

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• KE

  @kesayo · 1 month ago

  My wife is significantly younger than me and her social is almost nothing, so if I claim at 70, she’ll get the max survivor benefit when she hits full retirement and will probably collect it for at least 25 years since longevity runs in her family.

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• SA

  @SanePerson1 · 3 months ago

  The actual situation for people like me who invested a lot of years in education (a PhD plus almost five years as a postdoc) and subsequently earned good income only after 40: our highest earning years come at or near the end of our careers and we tend to retire late (I retired one month short of 69). Consequently, Social Security taken early will be taxed at a high marginal tax rate - after retirement it drops into the 10% and 12% tax bracket. Also, we often have jobs we actually like, so we&apos;re often not all that eager to retire early.

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• TO

  @tomrobbins-milne2078 · 3 months ago

  The bit about &quot;discount rate&quot; should be clear that it includes inflation as well as any tax effects. If you compare a dollar you get at 62 from social security and the returns from it&apos;s investments until age 70 against the amount extra you&apos;d receive from the delay, the latter will grow with inflation and the former will have to pay taxes on any realized investment income. Blithely saying that the average investment portfolio would earn 6-7% ignores the fact that inflation and taxes aren&apos;t zero.

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• TO

  @Tobi-y3q9y · 4 months ago

  Great video. &nbsp;I&apos;m surprised the issue of medical insurance isn&apos;t brought up as a major factor. &nbsp;This is the #1 factor causing me to delay my SSA until 65, when I can get on Medicare. &nbsp; &nbsp;Until then, I have to use the ACA marketplace, and receive subsidies as long as I don&apos;t make too much money. &nbsp; Taking SSA before 65 would push me above the income cap for ACA, causing an additional $25k in annual insurance fees. &nbsp; So I will have to live on rental income and savings and keep the AGI below the ACA cap. &nbsp; This means I have to delay Roth coversion and SSA income. &nbsp;Thanks for the great video, and I suggest adding health insurance as a key factor in the decision.

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• MI

  @Michael23Austin · 13 days ago (edited)

  Fantastic video! &nbsp;Taking the &quot;discount rate&quot; into account changes everything. &nbsp;And you importantly point out that if the break even point is 97, you also have to factor in the advantage of having dollars in-hand at 67 when you are healthy and able to enjoy it vs waiting until your 97 and &quot;who knows&quot;.

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• PO

  @Po1itica11yNcorrect · 4 months ago

  Market return isn&apos;t the same as the return one gets from their portfolio. There are fees, etc that must be factored in.

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• DA

  @darylfortney8081 · 4 months ago (edited)

  Claiming early lets you pass that reinvested money on to your family. They can’t collect your unclaimed social security after you are gone. &nbsp; A millionaire themselves probably doesn’t need the money either way. &nbsp;Start collecting early and pass along a bigger nest egg.

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• BA

  @barryspotts9850 · 4 months ago

  This is great. &nbsp;The other thing what is not mentioned her is if your spouse&apos;s social security is based upon your social security. &nbsp; This also makes a difference on when to take.

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• CI

  @ciaranharper3765 · 3 months ago

  Great job of reframing the question! It&apos;s my first time to the channel and I appreciate your including the discount rate and Roth conversion window. I&apos;m not a millionaire but I can choose when to start Social Security.

• MI

  @mick123153 · 3 months ago

  Claiming before 67 make any wages at risk of penalty

  3