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What are the benefits of waiting until full retirement age if I can comfortably live off of Social Security benefits now?

My wife has been retired from the workforce for eight years and the two of us have approximately $750,000 in assets and no debt. Our combined Social Security benefits today would be more than adequate to sustain our current lifestyle. Is there any point in waiting an additional three years to retire at full retirement age if I can comfortably live off of Social Security benefits now?

Retirement, Social Security, Retirement Plans
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April 2018

One of the biggest risk a retiree will face in retirement is the risk of outliving their savings. This is often referred to as "longevity risk". One way to protect against this risk is to maximize your fixed sources of income, i.e. Social Security.  Although you can sustain a standard of living currently on Social Security, this may not always be true. Therefore, consider depending on your portfolio of $750,000 for income and delay taking Social Security for as long as possible.  Each year that you delay taking Social Scurity benefits, if will increase the amount you receive annually by approximately 7% to 8%. This can be viewed as a guaranteed rate of return that would be hard to earn elsewhere. 

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