Oscar Toledo discusses the top considerations for a pre-retiree when deciding on social security claiming options.
Listen to the interview on the Business Innovators Radio Network:
When deciding on Social Security claiming options, pre-retirees need to consider the impact of their decision on their retirement income. This includes evaluating when to start receiving benefits and how that choice might affect other sources of retirement income they have.
Pre-retirees should also consider the benefits they can expect based on their work history and earning records. For example, those who could contribute more over a more extended period may be eligible for higher monthly benefit amounts. Additionally, pre-retirees should also consider any potential penalty or bonus that could arise from making certain decisions about beginning payments or collecting spousal benefits.
Another important factor is longevity risk—the possibility that pre-retirees may outlive their retirement savings. To guard against this scenario, pre-retirees should consider the possibility of receiving delayed benefits, which can increase the amount of Social Security benefits they will receive each month.
Oscar explained: “Pre-retirees must also consider the tax implications of their decisions. Depending on income from other sources such as investments or pensions in addition to Social Security, it is possible that some portion of a person’s benefit could be subject to taxation. Being aware of this potential could help pre-retirees make an informed decision regarding when and how to start collecting Social Security benefits.”
By considering these factors, pre-retirees can make an educated choice on the best Social Security claiming options for their individual retirement goals and needs.
It’s important to consult with a financial advisor or tax professional before making any decisions about claiming Social Security benefits. They can help provide personalized strategies that are tailored to each person’s unique circumstances.
About Oscar Toledo
Oscar Toledo is not only a business consultant to the professionals who work with him, he’s a personal producer who knows firsthand the number of obstacles facing financial professionals today. Anyone who has worked with Oscar says he is trustworthy, persistent, and an active listener.
For more than 20 years, Oscar has taken his client’s success personally – providing real-world solutions that help achieve his clients’ personal financial and business goals. Oscar and his team serve a select group of businesses and families to build and maintain the lifestyle they have worked hard for.
Oscar spends his free time traveling and creating lasting memories with his wife and three daughters. He is also passionate about music, charity work, fitness, and watching his daughter play softball.
Learn More: Cell: 714-317-3913
Licensed Insurance Agent – 0E38226