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There are way to many other parameters involved then what they look at so like most simple calculators it is pretty useless
Simply providing a suggestion for a simple way to calculate the break-even point which the poster ysr_racer was asking about:
"What does that mean? Draw rate?
At 62 I get $1,700, at 66.8 I get $2,357, at 70 I get $2,986.
When's my break even point?"
Agree that the calculators are overly simple mechanisms given all the other variables involved such as taxes, as one example. Perhaps you know of a more accurate way to calculate a break-even point for SS benefits that takes into account other variables.
Given life expectancies are dropping again due to environmental toxins, my Grandfather passed at 67, my other one at age 50 (we'll see how long Dad lasts) and at age 70 I won't be doing as much vs. at age 62 I will be taking it as early as possible. Besides I will be retiring abroad where cost of living is lower so coming out ahead either way. Plus with age discrimination in USA there is no way I will be working past age 60 let alone 65....
They actually need to lower SS age because a lot of people in my generation will be unemployed starting age 55 soon.
Simply providing a suggestion for a simple way to calculate the break-even point which the poster ysr_racer was asking about:
"What does that mean? Draw rate?
At 62 I get $1,700, at 66.8 I get $2,357, at 70 I get $2,986.
When's my break even point?"
Agree that the calculators are overly simple mechanisms given all the other variables involved such as taxes, as one example. Perhaps you know of a more accurate way to calculate a break-even point for SS benefits that takes into account other variables.
This calculator only has 66 or 67 for age. I put in 67
Intesting..your break even is about 80 for all 3 scenarios..you take early, you take at FRA, you take at 70.
Break even means that by 80 you received the same amount of money from any of the 3 ages.
By 81 you get more money by waiting til FRA.
By 82 you get more money by waiting til 70.
There’s a crossover point when you’ve earned the same amount total no matter which route you took. After that the 70 yr start earns you more. So if you live beyond that point you have done better to have waited. And that’s when things are getting more expensive so nice to have more resources. I think that age is 78 and a half.
I ran the numbers some years back and for me the crossover point was 80.
If you save all the money, it's gravy. If SS goes toward living expenses, take it at 70. IF you come from a reasonably long-lived line. In other words, if you're likely to make it to 80 or older.
Things cost more as you get older. Medical care, drugs, in our case a herd of four or five or sometimes seven stray cats has adopted us and we feed them and have had a few to the fix-it shop. Food runs about five bucks a day, that's $150 a month. Not a budget-buster but 150 is 150. Unforeseen stuff like this is easier to handle when you have more disposable income.
Simply providing a suggestion for a simple way to calculate the break-even point which the poster ysr_racer was asking about:
"What does that mean? Draw rate?
At 62 I get $1,700, at 66.8 I get $2,357, at 70 I get $2,986.
When's my break even point?"
Agree that the calculators are overly simple mechanisms given all the other variables involved such as taxes, as one example. Perhaps you know of a more accurate way to calculate a break-even point for SS benefits that takes into account other variables.
it takes very sophisticated software to incorporate all the other parameters . there are companies like social security solution that do it for a fee .. the more you want to pay the greater the detail they will get in to.
micheal kitces did a lot of numbers crunching on this .. he found if you are delaying taking ss to 70 and spending money to live on from a balanced portfolio or money that could be invested if you took early ss then you need 22 years to get even . but that does not count tax ramifications , spousal benefits not received and uncapped medicare increases while delaying .. it can stretch out as far as 24 years just to get even ...
that is way way longer then just counting up checks you did not get ... so looking at just the checks really is only a piece of the puzzle and tells you little .
My wife and I are taking SS at 62. Not for any other reason than to solidify another piece of our retirement plan. Is it the best move? Don't know and don't care. There are too many variables for ANYONE to tell you the right move and you won't know truly until you're on your deathbed. I prefer to spend my time on living.
are you spending nothing to live if you delay ? will you pay no taxes on any of your income ? any spousal if you are married that can't be collected ? do you have ira's that can have tax free money taken out if you delay ss and use the standard deduction ? what about taxable brokerage accounts where you can ue the tax free zero capital gains brackets if you delay ss ?
once again , a useless calculator that only looks at checks .. unless you are working and can't collect because of the earnings cap there really is not much real world use for these .
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