Ask Larry

Delayed Retirement Credits

Doesn't It Make More Sense For Me To Start Drawing Effective With January Rather Than June?

I was planning to take ss when I turn 68 in June. It looks like the most recent delayed retirement credits is only applied annually. If I want to go with the 1/1/2021 year end valuation and not wait until June do I simply apply and request benefits to start as of Jan 2022? Seems like waiting does not make any sense.

Wednesday, February 9, 2022 - 14:56

Is SSA Being Truthful?

I bought Get What's Yours a couple years ago, and it provided excellent advice as I was preparing to file for Social Security benefits last year. After looking at my finances, I decided to ask for benefits to begin two months after FRA (66 and 2 months). Taking your advice, I wrote on the application that I wanted monthly benefits to include all Delayed Retirement Credits earned to date. Everything seemed fine when the first Social Security deposit was made at age 66 and 4 months with no lump sum payment for retroactive benefits. However, it did not include DRCs.

Monday, February 7, 2022 - 17:48

Do I Need To Appeal?

I filed in the month following my 68th birthday and was told by a rep my benefit would be $2036. My letter stated a lower amount of $1965 and when I called SS a rep said I would not get $2036 until January 2022 when my DRCs from 2021 would be added. The rep said I would also get a lump sum of the difference between $2036 and $1965 retroactive to cover the remaining months of 2021. I am still working and will earn more than my lowest annual pay so will increase my 35-year average.

Monday, December 13, 2021 - 17:41

Do I Need To Remain Patient?

My FRA is 66 (DOB: 11/12/52). I claimed my own benefits at age 67 & 7 months in July, 2020. I have been receiving the benefit reported in my benefit statement as of Jan. 1st, 2020. I understood the benefit would be adjusted on Jan. 2021 to reflect the additional seven months I waited to claim benefits. Upon my first call the representative said the adjustment would be made 6/1/ 21. Nothing happened. I called again in August and the rep. said they are understaffed and he did not know when they would get to this. Do you have any other info on this?

Friday, October 8, 2021 - 16:33

Why Does My Benefit Amount Increase Each Year?

I was reading about delayed credit and I was wondering, when you look at what you are going to collect at age 66, 67, 68, the amount increases with every year you wait, is the amount reflective of the delayed credits or are the delayed credits on top of what you would get later? For example, if I am receiving $2,500.00 at month at 66, would my increase at 68 be because of delayed credits, or are delayed credits like a bonus? Also do I have to apply for benefits and then suspend to get the delayed credit?

Sunday, September 19, 2021 - 08:29

Can You Explain The Discrepancy In My Benefit Estimate?

I am 68, currently receiving a spousal benefit, and trying to decide when to switch to the benefit based on my work record. Social Security provided benefit estimates for January 2022 (I turn 69 in December 2021) and January 2023 (I turn 70 in December 2022). My delayed retirement credit is supposed to be 8% for each year beyond my full retirement age of 66, but SS says my 2023 benefit will only be 5.8% larger than my 2022 benefit. Can you explain the discrepancy? Thank you.

Monday, August 16, 2021 - 13:58

Feedback Regarding DRCs.

Jerry - this is not a question, just some feedback:
I’ve been following your posts on DRCs for those filing between FRA and 70, so when I filed in Sept 2019 at 68 1/2 I was prepared for delays. FYI, SSA finally “caught up” in August 2021 - 23 months after filing. My full DRCs are now finally credited, with back-pay from Jan 2020 as you predicted.

Wednesday, August 4, 2021 - 16:35

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.

Wednesday, March 3, 2021 - 09:51
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