Each time a financial advisor sits down to discuss retirement planning, many times they forget the biggest assets some American’s have—Social Security. Often we look at what they have saved over their years when planning for retirement, but we forget what the original Social Security Act of 1935 offers Americans. After the Great Depression over 50% of senior citizens were living in poverty and President Franklin D. Roosevelt implemented a limited form of Social Security.
American’s work all of their life to retire and enjoy their golden years, traveling or spending time with their families. The last thing they want to think about is money and how to make ends meet. They have paid a portion of their salary to help offset some of the worry, but many lose out on valuable assets by taking it to early, not understanding restricted payouts or suspending their payout.
Each time a financial planner sits down to discuss assets or planning they must look at the most obvious asset of all—Social Security. The advisor needs to learn the proper way to maximize the clients Social Security and build their other assets around the one thing (as of today) we know that they can count on. Yes, per Social Security and Medicare Boards of Trustees, full benefits will only be paid till 2033 and thereafter the Administration would have sufficient funds to pay about three-quarters of scheduled benefits through 2087
Social Security Maximization is a simple approach to ensuring your clients get the funds available and not outlive their income stream. With the ability to determine when is the best time for your client to apply for Social Security, the advisor has the ability to position other assets and forms of income to maximize the client’s income stream.