Any benefit to putting off Social Security past age 70? Seniors who opt to defer their Social Security benefits past the full retirement age will incur delayed retirement credits that can raise the value of their benefit payments by 0.66% per month or 8% per year, according to this article on USA Today. “However, these delayed retirement credits only accrue until age 70, and there are no additional increases if you wait beyond age 70 before starting to collect,” says an expert. Up to 85% of their retirement benefits may also be subject to federal income tax if their combined income exceeds a certain threshold.

Creative tax strategies can stretch your nest egg years longer When tapping retirement assets for income, withdrawal sequencing is crucial to minimizing the tax bite and ensuring the nest egg lasts as long as it should, according to this article on Kiplinger. Instead of following the traditional advice, which is to start with taxable accounts first before tapping tax-deferred and Roth accounts, clients may be better off withdrawing from these accounts simultaneously. This "multiple accounts strategy" could be more tax-efficient and make the nest egg last longer.

Register or login for access to this item and much more

All Employee Benefit Adviser content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access