How does Social Security factor into your own retirement and estate plan? Waiting to decide on the perfect age to select social security benefits can have significant impacts on your income during your retirement years, as well as which assets you direct towards loved ones when you pass away.
A recent research study found that only 10% of Americans will wait until age 70 to start collecting their Social Security checks. This could indicate a crisis of confidence in retirement savings. 70 is a magic number for social security benefits because that is when people can receive the maximum amount they’re entitled to.
However, as many Americans approach retirement age, they may need to shift their goals and determine other ways to support themselves. Staying on part-time or picking up a side hustle, for example, can provide some income stability during the gap years between when you stop working at a company and when you begin to collect Social Security. Other assets such as your retirement, need to project well into the future to cover you for years to come.
If you rely on Social Security for the majority of your retirement income in the day-to-day, you may not need your full retirement account savings. However, no matter what, you should name someone to get those retirement plan benefits if something happens to you.
Don’t forget that you need to assign retirement plan beneficiaries to receive these assets if you pass away. You need to communicate directly with an experienced and qualified estate planning attorney to accomplish this.
