Ask Larry

Delayed Retirement Credits

Should I Wait Until Age 70 1/2 To File In Order To Lock In All Delayed Retirement Credits?

I am approaching age 70. I have been allowing my monthly delayed retirement credits to accumulate in order to maximize my monthly benefit going forward. If I file at age 70, and take the retroactive lump sum, will I lose the 6 months' delayed retirement credits I earned from age 69 1/2 to age 70, and thus a smaller check every month going forward? If so, should I wait until age 70 1/2 to file, to "lock in" all possible delayed retirement credit, and then accept the retroactive lump sum? Thank you.

Posted: 
Wednesday, March 3, 2021 - 09:51

Should I Call Social Security?

Hi Larry,
I used maximize my social security to determine when to collect benefits. I started in July 2020 at age 68 1/2. For whatever reason social security started paying my benefits based on January 2020 accruals. I called and they promised that my benefits would be recalculated in early 2021. It's mid February; When in the year will benefits be recalculated. I have no confidence that this will be done correctly. Do I call? Thank you.

Hi,

Posted: 
Tuesday, February 16, 2021 - 11:46

Do You Have Any Thoughts On My Situation?

I recently started taking social security benefits after waiting 23 months past my FRA. From reading you, I concluded that 23 months of delay past FRA would come to an additional 15.33% in benefit amount (23 x 0.67%). However in January I received on the first 13 months of benefit delay (8.67%). When I call Social Security the national number tells me the state where I filed are the people I need to talk to. The state level people tell me that I have to wait until 2020 taxes are filed before I will get the additional DRC credit. I think I'm getting the runaround! Any thoughts?

Posted: 
Tuesday, February 16, 2021 - 11:01

Would My Benefit Amount Increase By 8% Per Year If I Delay Starting My Benefits Even If I've Stopped Working?

Larry,
I retired 65 and will reach my full retirement age in 8 months. If I delayed taking it for another year or two would my monthly base amount increase (~8% for year) or does that sonly happen if you continue to work. i.e. If you reach you full retirement if you stop working/contributing your base amount is frozen except of Cost of Living increases, even if you delay taking it?

Hi,

Posted: 
Thursday, February 11, 2021 - 16:47

Can Anyone Explain Why My Wife's Benefit Amount For December Is So Much Lower Than Her Benefit Amount For January?

Spouse received her Award letter yesterday with first payment scheduled for receipt in January 2021 for December 2020 benefit. This will be her first payment on her Own Record as she has been receiving a Spousal Benefit. The last claim for Spousal is November 2020 and expected receipt on December 20,2020. (Delayed Credits have been accruing)
The letter states the following: "You will receive $2,683.00 for December 2020. After that you will receive $2,853.00 on or about the fourth Wednesday of each month."

Posted: 
Thursday, December 10, 2020 - 14:02

Do I Have To Continue Working Between My FRA And Age 70 To Be Eligible For Delayed Retirement Credits?

Do I have to continue working between my FRA and my 70 DOB to be eligible for Delayed Retirement Credits? Thanks!

Hi,

No. You can accrue delayed retirement credits (DRC) from full retirement age (FRA) until age 70 whether you are working during that time or not.

Best, Jerry

Posted: 
Tuesday, October 20, 2020 - 11:30

If I Start My Benefits Effective With The Month I Reach Age 70 Will My First Payment Include Credit For Current Year DRCs?

If I turn 70 in December 2021and apply for benefits to start that month with my first check deposited January 2022 ....will I get credit for all my 2021 DRC's in that January 2022 check. ...or because of IRS computers will it be January 2023 before I see the bump for the 2021 DRC's...(with an accompanying retroactive amount)?....alternatively. ..if I wait just one month after I turn 70 to apply....thus giving up one month's check....will the 2021 DRC's be applied right away for the rest of the eleven 2022 checks?

Hi,

Posted: 
Tuesday, August 11, 2020 - 10:04

Is It Correct That My Benefit Amount Would Be The Same If I Started Drawing Next January Or April?

I am planning to file for SS benefits next year. I will be turning 68 in April. When I checked the SSA website for an estimate of my benefits, there was no difference in the amount it calculated whether I started my claim in January or waited until my birthday month. Is that correct?

Hi,

Posted: 
Tuesday, May 26, 2020 - 09:59
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