Timing is Key: Maximize Benefits at Full Retirement with Cosi Agency

Deciding when to take Social Security is like playing chess, a strategic move can maximize your benefits. At Cosi Agency, we understand the importance of timing in securing your financial future. With a decade of experience as Registered Social Security analysts, we're here to guide you through the complexities. In this blog, we explore the critical factors influencing your Social Security benefits and how making informed decisions can significantly impact your income during retirement.

Age and Timing Matter

Applying for Social Security benefits at the earliest age, 62, comes with a trade off, a reduction of 25% to 30% in your monthly benefit for life. On the flip side, delaying until age 70 increases your monthly benefit by 8% each year past your full retirement age, resulting in a bonus of 24% to 32%, depending on your birth year.

Understanding Full Retirement Age:

Your birth year plays a crucial role, as the full retirement age is rising. For those born between 1943 and 1954, it's 66, increasing to 67 for those born in 1960 or later. If your birth year falls between 1955 and 1959, the full retirement age rises by two months every year.

Changes in Rules for Claiming:

For individuals born after Jan. 1, 1954, different rules apply, especially for married, two earner couples. Social Security benefits are based on the 35 highest years of earnings, making it essential to plan strategically to maximize this reliable, inflation indexed annuity for a lifetime.

Three Levers to Maximize Social Security Income

1. Work Longer: Accumulate more money by extending your working years, enhancing your best 35 years of income.

2. Earn More: Contribute more to the Social Security system by increasing your earnings, resulting in a larger payout.

3. Delay Your Benefit: Waiting until age 70 leads to a higher monthly payment, with an 8% increase for each year past full retirement age.

Work More Years:

Working longer not only increases your average earnings but also allows you to amass more savings, delaying the depletion of retirement assets like IRAs or 401(k)s.

Earn More Money:

Maximize your Social Security payout by paying taxes on the maximum income, currently up to $160,200. Working during retirement can further increase your benefit payout.


Ready to retire and take social security benefits

Make sure you do not have to work longer than necessary, Call Cosi Agency to see how to maximize your social security benefits and retire earlier.

Delay Your Benefit

Delaying your benefit until age 70 earns you an 8% increase per year, resulting in a higher initial benefit and larger annual cost-of-living adjustments (COLA).

Married? Divorced? You Have Options:

Complex choices arise for spouses and ex-spouses. Consider the impact on survivor's benefits and strategize based on when the first spouse started their Social Security.

Work with a Specialized Financial Advisor:

Given the complexity of Social Security rules, working with a specialized financial advisor can help navigate the 500+ possible claiming strategies, ensuring you optimize your benefits.

Suspend Your Benefit:

Correcting a premature decision is possible through benefit suspension, earning delayed retirement credits until age 70.

Advantages of Taking Social Security Early

1. Immediate financial support for living expenses.

2. Address concerns about Social Security's future solvency.

3. Assurance for those with a shorter life expectancy.

Disadvantages of Taking Social Security Early:

1. Permanently reduced benefits.

2. Smaller cost-of-living adjustments.

3. Temporary reduction if working before full retirement age.

Special Considerations:

A withdrawal option allows a do-over within 12 months, though it can only be exercised once in a lifetime.

At Cosi Agency, we emphasize the importance of strategic decision-making for maximizing Social Security benefits. With personalized guidance and a focus on timing, we help you secure a reliable, lifelong income, ensuring financial stability in your golden years. Make the right moves, plan ahead with Cosi Agency.

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Registered Social Security Anylast

Registered Social Security Analysts (RSSAs) are dedicated agents that are here to help you optimize your retirement income and benefits and maximizing your lifetime income.