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Old 02-01-2015, 06:54 AM
 
Location: Oklahoma City, Ok
75 posts, read 94,651 times
Reputation: 35

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I will turn 70 in August 2017. I want to maximize benefits because I am effected by the WEP. To maximize should I begin benefits in August or September 2017?
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Old 02-01-2015, 10:54 AM
 
Location: OH>IL>CO>CT
5,238 posts, read 8,417,308 times
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When I was about to turn 70 last Aug 2014, I started the application for age 70 delayed benefits (DRC) in May of 2014. (You should apply 3 months before start date) I requested an August start date, with first payment in Sept. I am now receiving 100% of the age 70 increase over FRA.

Based on my experience, I would suggest you not do an on-line application, make an appointment at an SSA office. What happened to me was the first "award letter" amount only showed my FRA amount. SSA said I needed to file an appeal in writing, as the only way to get this error corrected. I did that, and it was corrected with retroactive payments for the 2 months I received the FRA amount. Looking into the issue, it appears the on-line application system only handles standard FRA applications without errors.

Some SSA webpages to read:
Other Ways To Apply For Benefits
http://www.socialsecurity.gov/pubs/EN-05-10147.pdf

Good Luck........
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Old 02-02-2015, 04:46 PM
 
Location: Oklahoma City, Ok
75 posts, read 94,651 times
Reputation: 35
Thank you for the response, and the information on filing. I will begin my annuity in Sept based upon what you said.
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Old 02-03-2015, 02:19 AM
 
71,735 posts, read 71,829,507 times
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a little known fact is that delayed ss credits earned the current year do not get payed as soon as you file in that year .

accumulated credits for waiting past fra get calculated every january for payment .

so hypothetically if i file in oct when i am 68 my first check will not include any delayed credits earned that year. they will pay me a lower amount right out of the box and increase me in january based on those credits for the past year . while i get that amount going forward i lose that extra money from the delayed credits i earned that year forever .

it would always be better to file in january of the following year you planned on if mid year since your first checks will include all the previous credits as well as waiting a bit longer earns you more credits you will be payed on in your first checks.

after age 70 though there is no benefit increase by waiting.

bet no one ever got this advice from the workers at social security.
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Old 02-03-2015, 09:06 AM
 
2,429 posts, read 3,227,010 times
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Once again...Mathjack, you are helping sooo many people! Thank you.
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Old 02-04-2015, 07:44 AM
 
Location: Connecticut
206 posts, read 345,183 times
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Whoa. Please confirm my understanding.

My 70th birthday is in November of 2018, and I plan to collect my max SS by waiting until then to claim benefits.

mathjac said:
Quote:
Delayed ss credits earned the current year do not get payed as soon as you file in that year. Accumulated credits for waiting past FRA get calculated every January for payment. While I get that amount going forward, I lose that extra money from the delayed credits I earned that year forever.
I will complete an app for benefits in August of 2018 (three months ahead of my 70th birthday).

@mathjac, I think you're telling me that for the remainder of 2018, I'll receive my benefit without 2018's delayed credits. I also think you're saying that my benefit checks in 2019 will include the delayed credits from 2018, but that I will never be paid for the delayed credits from my one payment in 2018.

Is that correct?

(And of course there would be no point in my waiting until the following January, since I would miss out on one entire monthly payment.)
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Old 02-04-2015, 10:35 AM
 
Location: OH>IL>CO>CT
5,238 posts, read 8,417,308 times
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Quote:
Originally Posted by Yellow Saltbox View Post
Whoa. Please confirm my understanding.

My 70th birthday is in November of 2018, and I plan to collect my max SS by waiting until then to claim benefits.

mathjac said:

I will complete an app for benefits in August of 2018 (three months ahead of my 70th birthday).

@mathjac, I think you're telling me that for the remainder of 2018, I'll receive my benefit without 2018's delayed credits. I also think you're saying that my benefit checks in 2019 will include the delayed credits from 2018, but that I will never be paid for the delayed credits from my one payment in 2018.

Is that correct?

(And of course there would be no point in my waiting until the following January, since I would miss out on one entire monthly payment.)
The process that Mathjak outlined does not apply to a claim for "delayed retirement credits (DRC)" at or after attaining age 70. Only claims made before age 70 , and after FRA.

The official rules are in Section B of SSA's POMS manual here:
https://secure.ssa.gov/poms.nsf/lnx/0300615690

where it says:
"
B. When benefits are increased because of increment months

DRC increases are effective:
  • in January of the year following the year the increment months were earned;
  • in the month of attainment of age 70; or
  • in the month of death of the NH, for widow(er)s benefits with DRCs."


BTDT
When I was about to turn 70 last Aug 2014, I started the application for age 70 delayed benefits (DRC) in May of 2014. (You should apply 3 months before start date) I requested an August start date, with first payment in Sept. I am receiving 100% of the age 70 increase over FRA.
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Old 02-05-2015, 03:37 AM
 
71,735 posts, read 71,829,507 times
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correct , you have to be careful from fra up to 70. that is where you can lose those credits. that january calculation can be real sneaky then.

even waiting after 70 has no benefit as all you do is lose checks with no benefit. like reed said time it so you start in the month you are 70.
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Old 02-12-2015, 07:43 AM
 
Location: Connecticut
206 posts, read 345,183 times
Reputation: 306
Thank you both. That makes me feel better. (And a teeny tiny bit richer.)
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Old 02-22-2015, 12:40 PM
 
41 posts, read 29,629 times
Reputation: 64
So I read this thread and I need clarification. If my fra is 66 and 4 months and my birthday is in February, if I decide to wait until age 68, for example, to claim benefits, how would this affect me? To get the benefit of waiting, would I need to wait until the January before I turned 69 or would there be any benefit in filing mid-year?
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