Social Security Plan: What kind of shopper are you?

We have officially begun another holiday shopping season.  I enjoy this time of year, the Christmas music, the family gatherings, visiting old friends and the holiday parties.  I have to confess, however, I’m not much of a shopper.

I’m not much for fighting the mobs for a door buster sale – I prefer instead to enjoy my turkey tryptophan slumber.  And I’m not one for getting my shopping done early.  In fact, I am usually one of those last few warriors battling the malls on December 24.

However, what I do enjoy about the holiday shopping experience is researching and discovering that “perfect” Santa gift for my friends and family.  Special research is needed to ensure that Santa delivers something memorable.  And I don’t leave for the stores without my list and a plan of where to buy that ideal gift.

Your transition to retirement should be much the same way. You should go shopping for that “perfect” social security retirement plan.  Unfortunately, many treat social security planning like a trip to the Dollar Store for that last minute stocking stuffer.   Ultimately, this lack of planning can mean a monetary loss.

Social security!  There are few topics in today’s world that can arouse as much concern, confusion or incorrect assumptions.  Finding a professional that is knowledgeable in this area of retirement planning can be difficult. Americans, and many financial advisors, underestimate the true value of social security and its place in a well planned retirement. Social Security does provide significant income during retirement and should to be considered one of your largest retirement assets.

No matter how large a portfolio, social security election planning mistakes will last a lifetime and these crucial entitlement decisions are complicated. Most people near retirement are familiar with only two rules of social security. The first is that the longer you wait, the larger the monthly check and, the second is that one must be present to win.  These rules, however, shouldn’t be and don’t need to be followed by everyone. Elections without a good plan can create substantial loss of benefits. 

During the next few months, I will offer you several tips to maximize your social security benefits in my blogs.  It’s important that you don’t underestimate the size of your social security check.  When you include the spousal benefits and survivor entitlements, this benefit often represents a family’s single largest retirement asset. Knowledgeable social security planning locks in greater lifetime income streams and reserves other hard earned retirement savings for other purposes. 

With this insight, I hope you’ll agree that it’s worth the extra time and research to find that “perfect” social security retirement plan – instead of treating it like a last minute stocking stuffer.