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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2 weeks ago
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Well, you get a nice increase every year.  So if you dipped into your savings to subsidized your living you would have more monthly income each month after the 3 years.  The calcuation is how much annual is the difference once you begin taking social security in 3 years and then will see where the crossover point is from the money you used to subsidized your lifestyle.  Is it 10 years, 12 years, etc.. and what is your life expectancy?  At the end of the day, you will probably fine either way, but as a rule of thumb, the longer your life expectancy & the better it is to put off social security if possible.  It is a mathematical question with a few assumptions made, namely longevity & rate of return on assets.  But some things aren't all about money.  If it makes you feel more comfortable to take social security now & not dip into your nest egg at all, that is a lifestyle choice.

Hope this helps and best of luck, Dan Stewart CFA®

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