Social Security: The Narrow Way

Welcome to finishing well brought to you by Cardinal.com certified financial planner Schild best-selling author and financial planner helping families finish well over 40 years of finishing well will examine both biblical and practical knowledge to assist families in finishing well, including discussions on managing Medicare IRA long-term care life insurance and investments and taxes. Now let's get started. Finishing well. The Bible tell us about the narrow way today's finishing well.

All my goodness, Social Security, the narrow way. It's unbelievable where I have found myself on in the in the last few hours because here I am 62 years older you know that and and so I guess I'm the poster child for when the so security people would love me this file for my Social Security but I have been getting, you know, so security article from Hans that I was reading the trying to get ready for this show on slurred and there's a reason for the narrow way I'm get there in a minute and so I read rock concerts. Article 7 reasons why you should wait till 70 to take your Social Security and and I read that let you know that was interesting and all of a sudden I look at this thing that comes up in my Google I know is I like anytime you go to Google it throws out something they're hoping you're going to take the bait and it's written by the Social Security Mrs. three reasons you should take your Social Security at age 62 and I'm like what what what type to you that you know knowing what Hans is been teaching us here and all of a sudden I started to realize that the so security people would probably benefit a lot by me taking my Social Security at age 62 and we've been talking about this Hans actually for months now. Yeah, and that there's plenty of money in the so security but if if you begin to think wow will maybe be no money and so security your car be more apt to the second you turn 62 want to jump on the boat, but here's some scary statistics for you. I went looked it up and it absolutely blew my mind.

Would you believe that 42% of the men and 48% of the women now this is not the narrow way folks, this is the wide take their Social Security. As soon as they are eligible for and oh my goodness, I may never leave and how much money on the table.

Hans depending whether you compared let's say 30 to 50%. Well, in my case as I recall, it was like if I took my so security now I would be getting about $2200 a month versus as I recall. $3700 a month by week age 77 of 50%, the highest about $1500 a month that they would really like me, you know, go ahead and you know hope right up because it is and what it actually reminds me of is when I was in the car business left in the car business that the factory used to throw these things out there that is a you could either take the rate or the rebate and what they really wanted you to take was the interest rate is they would say all the interest rates of 0% for 24 months or whatever it was, and that but the rebate would be like three grant will if you ever did the math on the thing every single time you got your money up front. If you took the 0% it would take you 24 months to get the $3000 you gave up at the moment. It took the rebate and so the people. It took the rate that was the sucker bet and go absolutely and so the factory made a huge deal about the fact that it was 0% interest, and not that much big deal about about the rebate, but when you look to the customer message okay if you can afford payments for 24 months and not many people. I bet you could pay cash for this right� Look at how much money you. You're saving by and and every time you know they would take this is the same kind of deal if if you wait to take your Social Security. The dividends are huge, I mean you got all this money so there's math involved in this right and the narrow way is listen to this this this part blows my mind statistically, 42% of men and 48% by which by the way women live longer than men so that this kind of scary. 48% of the women take their Social Security at 62 7% taken at 63 7% take it.

64. This men women 8% both times 8% of them take him excuse me 34% weight your full retirement age of man, 27% of women actually only nine or 10% 9% men 10% women wait past the age of 65 to take their Social Security with Ashley past age 66. Right. I have visited is it's a further age with you know I mean just you get in trouble when you read an article and then you just take it as fact. And then you make your Social Security decisions because there irreversible and therefore lifetime and you don't want to be doing something he regretted about 75 or 80 years old were you trying to live on this reduced check at end and the other thing to think about is not God's pretty clear on the narrow way and so here you got a pretty clear example of where everybody's gone and so there's some part of the Christian and maintenance as well.

Oh everybody's gone that way.

I need to take a hard look at where I'm actually going here at and it's a little bit scary to me. Honestly that Google floats this article out my Lapides cyst and it's written by the Social Security administration. Three reasons to take my Social Security and the first thing they said was, you need to get your money while they're still money there. We talked about that on show after show right there. There's a lot of money in the in that there be had with real dangerous and I've written some articles I wrote 17 Reasons Way to your 70, but that's for the general public guy in this defining the narrow way.

Everybody's situation is different and so what you really need to do is you need to sit down and think through this and think through your situation. I would advise with a professional like me that understands how all this works and can take a 30 year viewpoint 40 year viewpoint Friday night I my mantis jumped out so it in advance because I'm so excited about the subject you're listening to finishing well with certified financial planner on Shiloh and you know the reason why we call this finishing well is it's based on Hans's book the complete cardinal guide to planning for and living in retirement, which there are seven worries that that the website it cardinal guide.com, of which one is Social Security and and again you can get all this information in his book there at the seven worries tab under so security we need to talk about that but when when it comes to these kind of things. A regular financial planner or a regular insurance salesman, or even somebody that that does Medicare sublets does not necessarily have an education in this particular type of thing is they don't make any money by telling people when they take their zoster. Well, that's that that's the whole problem with this is a put it in my book and what our philosophy it cardinal and is my personal philosophy is, I want to give each of our readers.

Each of our listeners. Each of our people that are becoming clients. Each of our clients. I wanted give them something in every interaction I want to teach them something and so there's a chapter in my book and you can get these chapters for free@cardinalguide.com and there's a chapter on Social Security is actually two subsections.

There's one from the original book. The cardinal guide and then there's one from the workbook and it's going to walk you through in about 10 to 12 pages all the different variables that you need to be aware of. One of which is you're going to get a much larger check and miss much smaller check by taking it at 62 and that's gonna be a much smaller check for life. So that's just one very now once you made, you know, in the Social Security department is apparently very anxious for you to make that jump to lightspeed at 62 and go okay I can get my money now and in the in the three reasons that they gave was, you know, you might get sick when we unit you know we have an example of a of a common acquaintance of ours who took it at 62 and his reason was he says I may be dead at 63. You know, and so there's some wisdom in that, in the sense that okay so I'm in a get 12 or 18 checks are so that I wouldn't have otherwise gotten in them to be dead and who cares after that but you know list look at the alternative, what if you're alive at 90 3K and so he's getting. Let's just say he's getting $1000 a month and he would've gotten 1500 a month 1800 a month. It's waiting a few years so and he's got a job so he doesn't necessarily need the money and furthermore, he's having to give some of that reduced money back every year because he makes born $17,000 a year. It's it's something I mean just going into this without good counsel is, is not a good idea at the end and a little historical information is that people live a lot longer today than they did when they put Social Security into effect next 62 years old in 1933, you know, was a unit that was somebody that was up there may need date life expectancies were the late 60s and then you know later on they jumped up into the 70s, but if you're like me, I know a lot of folks in their 90s. I know several and I have been there hundreds and you know my own father is 87 and and so the chances of longer life all of a sudden becomes a big part of this, but the other historical part I wanted to explain that you you share with Caleb earlier was that they change when that when people start worrying about Social Security run out of money make up the full retirement age and that's kind of what still going on, but they didn't change that the lower age where you could hook up as far as I'm concerned. Okay so so people that are age 65) I forgot we weed we jump so far ahead of ourselves, about ready to go into the break, so I gotta say one more time then we come back on. Succumb to give you this historical information about retirement age.

Mike and stuff, but you're listening to finishing well which were trying to do the narrow way with certified financial planner Hans Schild. His book the complete cardinal guy to planning for and living in retirement and it's it cardinal not just cardinal but cardinal God made.com so and will in the problem that were solving and were working to solve is when you lack to take your Social Security and the answer lies somewhere between 62 and seven, and it can be any month doesn't necessarily need to be 62 or 762 or 6666 or 70, Arizona, narrow things down. We hope you are enjoying finishing well brought to you by cardinal guide.com visit cardinal guy.com for free downloads of previous shows, including episodes about Social Security and Medicare. IRAs long-term-care life insurance, investments and taxes as well as Hans best-selling book, the complete cardinal planning for and living in retirement.

Plus the accompanying workbook. If you want to follow along with today's topic download free PDF cardinal guy.com by going to the seven worries tab of today's show topic to scroll down to useful documents once again for free resources shows going to get Hans book the complete cardinal planning for and living in retirement or the workbook go to cardinal.com you have a question, comment or suggestion for future shows.

Click on finishing well radio show and send us a word.

Once again, that's cardinal guide.com cardinal guy.com now finishing well brought by cardinal guide.com welcome back to finishing well with certified financial planner Hans Schild.

Today's show Social Security. The narrow way and we got it we got in there this thing down on you could go between 6270 you know what the historical part of they changed it in order to make sure that we didn't run out of money which is to look let's understand this is is that 60 to 70 you got 96 different months that are going to happen between those ages and what I'm also going tell you to make things a little more confusing is the narrow way is a different way for just about everybody that's out there. Some people it actually is advisable for them to take it at 62 and I'll talk about them in the sack. There's other people that take it in full retirement age that that is the narrow way for them and there's many other people.

Many more people than do the can wait till 70 and that's the appropriate age side. But when you look at the statistics obviously the American people are leaving phenomenal amounts of money on the table and was 48% of them are jumping in at 62 Oak accent so here's the thing is is that for for many years since it started in the 30s Social Security full retirement age was 65 and a lot of people have that in their heads and they still think at 65 it's not 65 okay there was regulation put in here several years ago to really put the Social Security system on a healthy track is to shore up the funds and so what they did is they delayed full retirement age.

They moved it from 65 to 67 right which really does make sense because the average lifespan is certainly increased, which really affects that. And so it's only fair that they would move it up, but interestingly they didn't move up the minimum or when this thing was laid out a lot of people were dead before 65.

Social Security never had to pay them anything for me just they died at 58 or 61 or 63 or died at 67.

They paid him for two years so that that's why it was running out of money and that's why it still is a threat of that unless they do something more.

So the answer a few years ago. This is one of the few answers it was to move the full retirement age, the amount which you can collect your your your full benefit moved from 65 to 67 and it's actually for the people retiring right now it's 66 okay was a phase in thing and I think when we did the research on you because your 62 soon to be 63 your full retirement age is 66 and two months. I just turned 60 and my full retirement age is 66 and eight months K and by the time you get to people born in 1960 and later your birth year was 1960 and later your full retirement age is 67 tank. Now all of those people. I just named have the option of taking it at 62 and from the statistics you just read me over half the people are almost half of the people take it at 62 minutes just I had not seen those before our my mind was blown when I when I came across this that all my work. I mean that that it's it's almost like and I know there were some of those people legitimately enough she been diagnosed with cancer. Some you should take it at 62. But you know that the vast majority of these people really are leaving phenomenal amounts of money on the table while his worst because if the are still working to go back to work and they earn more than $17,000 a year in service income, which means it comes from a job, not from investment.

You gotta give some of that lesson money back for all those years, I had a schoolteacher that was retired. She needed the money. She took it like 63 and then about a year later she was sick of being retired in the school system was after. She is a very good teacher to come back to work so she went back to work was more than a year, so she couldn't reverse her decision was so scared they got a few provisions were you could reverse something that no one an option for her. So then she had a couple years were she earned the full teacher pay up in the $40,000 a year department for a different school system thing. I don't remember exactly the specific spreadsheet effectively gave all of her lesson Social Security back to the government because she was particularly and she was still working after that date is that the magistrate should textbook on top of everything else right yeah ice can increase your tax loader you just given the money back that you thought you were more I want to get it now and then you come to find out when it's tax time that you just gotta pay it back. You'll get credits for the right right so there's still more to this equation right because when you look at this. You've got algorithms and in different ways to just sit there and go okay with your life situation with your spousal support. Can you go into a little bit of that was sure because again I'm a tell you that if you 62 or 63 or some number before your full retirement age and you take it you could do that because you say I'm sick, but you know if your check is larger than your spouses check or they haven't filed yet there is going to be a larger check when you die, your spouse is going to get your check and they're knocking to get.

There's so you know, even if you're in poor health.

You really need to look at all these things because you can forever diminish why Greg announces Jack right. Not only are you can affect your check that your government affect your revised your husband's check.

Now there's some people that we advise him to take it at 60 2K if their single and there in poor health or their their life expectancy is reasonably shorter than living up into their mid and late 70s sure there's people that need the money.

I mean if you just need the money to live and you're not working. Maybe that was not my choice. Maybe you didn't retired, so there's plenty of situations. I don't want to make this like this is bad. I but we need to do it with caution.

There's other people that we wait till full retirement age for many of those reasons are going to get their full check and we wait that long for what I just spoke about. They may have a spouse that's going to get the spousal benefit and then if they pass away long before their spouse does, then we want the spouse to get the benefit of that full check for their life as if it took literally, they diminish that and then there's other folks that are really shocked to learn that there can be better off waiting to listen and I think when we looked at your situation.

That's the plan, at least for now is to wait until your 70 and then when I showed you how much you can again for that just change your your your whole mindset in your to be working so so we could have a lot of folks that are 6665 and there thinking about taking it.

They're not still working but they have other resources they have IRA accounts they have maybe a pension of either spouse is working as they have they have a lot of different ways to they could afford to delay and we look at all the numbers. The breakeven point is usually about 78 so they live past 78 7980 and they delay all those years beyond 78 7980 are going to be just gravy money for them and that could be 15 years) synthesis significant difference and definitely worth the time to really make it a good choice based on all the different factors and we talked about this before but I have another question unit. We had talked about earlier and earlier show that if you are married for 10 years to somebody and in no my first life I was married for seven years and she when a qualified enforcement she's passed away. Select she wouldn't work but let's say when I was married to her for 10 years and I took my Social Security, I'd you know I didn't. I waited to take it until I was 70.

Right which would mean I think it was 36 or $700 a month to she then have to wait to get her partner until I am actually 75 waited.

If I am not collecting since Jerry gone over my straight on my brain answer that I got.

I slept the panel well yeah I just I needed second to think about that. I think I could come up with it, but when I will tell you is you've helped her. Let's say you were married 10 years or 11 years or 12 years and then you were divorced and I know you're remarried and have been married a long time that both of and then you waited till 70 and then you die right okay both of your spouse is your current spouse in your previous spouse would be getting your full check if you have that healthy and I'm waiting. They would both need to know that you know that's the part that's kind of scary to me is that my ex-wife, how would she know that wow I was married to Robbie for 10 years I could get half of what he was getting and he's dead. I mean that.

That's money that at this seems like I'm really glad were doing this shows that people would know about that but it's kind of scary that they don't see anyone to tell you is we don't answer questions like you just asked me on the phone who now have people calling us up like the Social Security office and saying� To the house.

This can work me.

We help people with this and we asked them the questions and a whole bunch of questions learn about their whole situation. Then we look at it we put in a written financial plan where were going to say this is the narrow way for you. This is when based upon your situation. We would advise you take this okay or homelands based on all your life situation your family situation your work situation is your other money right your other resources yeah and so what I want point out is I wrote about this in my book. It's in the first book which has stories about people that we served in unit good stories and I wish that it ended differently stories.

And then there's the workbook and the chapters for both of these books are free@cardinalguy.com you going to the seven worries to Social Security you can download them for free.

You can also purchase the book right so as always, the wisdom is crying out there on the streets is absolutely free. You could go to the Cardinal guy.com email or call Hans and Sam would like you bookies consented to you, for you have a want to have this information and and really it's good to get it from an independent sources.

I'm finding out that it is getting it from necessarily so security or some article that you read that says all you need to wait till this long unit you need to really sit down and put your life in the situation with somebody that you trust.

In summary, that you really know would have your best interests at heart and simply, you know, that understands the kingdom and what's let's all involved in that.

I hate we got a run. We had so much more with the document we can do this all over the telephone to and through the email so we can serve people all over the state. Cardinal guy.com. Thank you for listening to finish. We hope you enjoyed finishing well brought you by Cardinal guy.com visit Cardinal do I.com for free downloads of the show previous shows on topics such as Social Security, Medicare and IRAs, long-term care and life insurance, investments and taxes as well as ponds best-selling book, the complete Cardinal guy to planning for and living in retirement and the workbook once again for dozens of free resources past shows get Hans book go to Cardinal do I.com if you have a question, comment or suggestion for future shows.

Click on the finishing well radio show on the website and send us a word. Once again that's Cardinal guy.com Cardinal guy.com