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Old 05-06-2015, 09:15 AM
 
Location: Tennessee
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So my uncle is hitting 60 this year and is trying to retire in the next two years from owning a business. I would assume he has the financial wherewithal to retire, but he is a single dad sharing custody of one minor daughter. She'll probably still be a minor when he retires and will probably get financial support through college.

Did you have minor children going into retirement or kids you were still financially supporting? How did being an older parent impact your retirement?
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Old 05-06-2015, 01:44 PM
 
Location: Miraflores
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I have a 26 y/o, 10 y/o and a 1 month old and have been retired for something like 28 years. I was 36,52 and 62 respectively. First child had a nanny until 10, second child had a nanny until 1 y/o and my last child probably until 3
and has learned English. I enjoy/enjoyed all three but I certainly see some differences. At 36 I was still partying and did not spend as much time with my Daughter. At 52, I was still partying and noticed at 55, I began losing interest (in partying) and wanted to spend more time with my Son. Now at 62, wild horses could not drag me away from my family.
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Old 05-06-2015, 07:35 PM
 
Location: Central IL
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You should check into your Social Security benefits....there's something about getting extra benefits for any minor children you have when you start collecting for yourself:

Retired worker, claiming Social Security benefits, age 62 or older, fully insured with 40 quarters of coverage - minor children receive up to 50 percent of parent's PIA

A Profile of Social Security Child Beneficiaries and their Families: Sociodemographic and Economic Characteristics

So your uncle would have to wait a couple more years for this to kick in, but something to consider.
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Old 05-06-2015, 11:03 PM
 
6,835 posts, read 3,872,820 times
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Quote:
Originally Posted by reneeh63 View Post
You should check into your Social Security benefits....there's something about getting extra benefits for any minor children you have when you start collecting for yourself:

Retired worker, claiming Social Security benefits, age 62 or older, fully insured with 40 quarters of coverage - minor children receive up to 50 percent of parent's PIA

A Profile of Social Security Child Beneficiaries and their Families: Sociodemographic and Economic Characteristics

So your uncle would have to wait a couple more years for this to kick in, but something to consider.
I'm not at all sure of this, but the benefits for the minor child may only be if the parent dies.
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Old 05-06-2015, 11:52 PM
 
Location: Central IL
15,250 posts, read 8,543,297 times
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Quote:
Originally Posted by Harpaint View Post
I'm not at all sure of this, but the benefits for the minor child may only be if the parent dies.
Nope - don't have to die...may have to wait until FULL retirement age though:

Baby boomers and kids

Retirement benefit eligibility for children, as you can imagine, is particularly impactful for baby boomers that had children later in life.

Let's look at the following examples:

A couple, each age 62, has a young daughter age 14. Assuming they are both eligible for retirement benefits, one of them could take their reduced Social Security benefit at age 62. In that case, the daughter would be eligible for half of that benefit amount. If the female spouse files and receives $1,000 a month, the daughter will also receive $500 a month.

If that same couple has four kids under age 18 (or that meet the aforementioned eligibility criteria), once either parent files for their benefit, each child is then eligible for a benefit amount. However, that amount is subject to a maximum family benefit which is usually 150% to 180% of the original benefit amount.
In other words, if the female spouse files and receives $1,000 a month, then each child wouldn't be eligible for $500 that would exceed the family maximum. Instead they would have their benefit reduced, closer to $150 per child.

There is one other scenario in which having a child later in life can allow larger benefits than expected.


Definitely something to look into.
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Old 05-07-2015, 03:31 AM
 
6,321 posts, read 5,064,142 times
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Quote:
Originally Posted by Harpaint View Post
I'm not at all sure of this, but the benefits for the minor child may only be if the parent dies.
No, my dad was in his 60s when we were in high school. The four of us received a small SS check when he started his SS.
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Old 05-07-2015, 08:24 AM
 
Location: Miraflores
786 posts, read 895,355 times
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[quote=reneeh63;39516118]You should check into your Social Security benefits....there's something about getting extra benefits for any minor children you have when you start collecting for yourself:

Retired worker, claiming Social Security benefits, age 62 or older, fully insured with 40 quarters of coverage - minor children receive up to 50 percent of parent's PIA

A Profile of Social Security Child Beneficiaries and their Families: Sociodemographic and Economic Characteristics

So your uncle would have to wait a couple more years for this to kick in, but something to consider.[
+1, Thanks for posting this as it may help some people.
I am already fully aware of what I am entitled to. I will file in a few months on my 62 birthday and according to my account the family benefit will be 42k per year. I plan to collect until age 66 and then suspend my benefit until age 70 (children will still collect 24k) that way, my spouse who is 30 years younger will collect my higher survivor benefit.
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Old 05-07-2015, 04:26 PM
 
Location: Tennessee at last!
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I will be retiring in 2 years and my kids will be 13 years old when I retire. I will be moving to TN so hoping for 2 years of college at no cost. Right now, both kids seem interested in non-4 year-college based careers: auto mechanic and culinary arts, but one never knows

Financially I do not think it will matter as I pay for their costs now, and am planning on having a similar income, minus the SS and taxes costs I currently have to pay. And moving to a lower cost in living state and will be selling my CA home hopefully shortly before retiring or shortly after, so those costs should go away.

Looking like I will be fine retiring with 2 little ones
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Old 05-07-2015, 05:27 PM
 
Location: Forests of Maine
30,687 posts, read 49,469,539 times
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When I retired, our eldest was 16. We had a 12 yo and we got licensed as Foster-Parents. We took in a group of 3 siblings [8, 10, 12].

It all works out.
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Old 05-07-2015, 09:02 PM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
22,612 posts, read 39,986,663 times
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Quote:
Originally Posted by Emigrations View Post
So my uncle is hitting 60 this year ... She'll probably still be a minor when he retires and will probably get financial support through college.
,,,,

Since when did parents become responsible for support of minor children through college?

I know several retirees who became 'parents again' when their own kids died / got disabled / went to prison / fell off the 'druggie wagon'. (grandkids / nieces and nephews come into the home of retirees...) I grew up with my grandparents, cuz my parents hated kids and it was very dangerous to be home!

We will deal with it (but college support will not be included!). Age 18 and they are on their own. (mine were on their own financially at age 12 (farm kids with several sources of income)). They did college for FREE instead of High School, and built homes and sold them as homeschool projects (pre high school) and had plenty in their IRA by college age to cover. Plenty of other options available... (Get a J-O-B...).

Grandparents / retirees are probable MUCH better suited for the finacial challenges of raising kids (again), that current parents.

Disruptions happen (i.e. no plan is perfect).
Kids are FAR less disruptive than healthcare issues (caring for spouse or self). Many families / retirees doing both. My retired / disabled neighbor has ALS (very serious / terminal) and 4 and 6 yr old grandkids from his son (who is in prison).
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