Are you ready for the Social Security Income Stretch?

You could be earning a 13.9% bonanza like those running the stretch this year.

Some of my long-term readers may remember I originally posted this financial strategy in February 2018 when I shared a story of how I nutritionally prepared myself for a heavy-laden run in Tibet where the high altitude has low oxygen levels which make running difficult.  Well, the Social Security Administration has just announced an increase of 5.9% to Social Security income effective 2022*.  My advice back in 2018 has just gotten sweeter – so nice I need to say it twice!

Now is the time to question the popular mindset of turning on Social Security income as soon as one is able versus thinking about affording the longevity we may receive.  In order to be able to resist turning on Social Security Income until it has achieved its maximum value for you at age 70, you have to have primed yourself financially for the stretch between the age you can first access it to age 70. 

Are you ready for the stretch?  If so, it can make a difference of $100K's in affording a comfortable life well into your senior years.  It may mean the difference between greeting customers for a paycheck or volunteering at your favorite charity.

For those of my clients who prepared for the stretch with me, their reward will be a 13.9% bonanza.  Social Security gave a 5.9% cost of living adjustment increase across the board for 2022.  Those past their full retirement age (FRA) and holding off on collecting Social Security until age 70 will also get an 8% increase to their income benefit (every year until age 70 as a matter of fact).  Hence 5.9% + 8% = 13.9% increase to their accruing Social Security benefit. Bonanza!

Contact me and let's figure out what you can be doing now to prime yourself for the stretch when you reach your FRA.

*_{Bloomberg, U.S. Social Security Benefits to Increase by Most in 40 Years
  By Olivia Rockeman, 10/13/2021}