Social security is something that a lot of people rely on. That is why it is so surprising that so few people actually know how to maximize their social security benefits. The first mistake that people make, according to financial advisor David Giertz, is that they start taking social security at the age of sixty two. It is better to come up with a plan that will allow you to wait until you are sixty five before you take social security benefits. The reason for this is that you will get larger checks from social security. Even the few people who know this are often unaware of by how much they can actually grow their checks.
The fact is that you can grow your checks by up to twenty five percent each month. That means that if you are supposed to get one thousand dollars a month from social security, you can get one thousand and two hundred and fifty dollars by simply waiting a few years. It might not sound like a lot, but it is a few thousand dollars a year, and it can make a huge difference when you are not working. If you decide to wait even longer, then you can grow your checks by eight percent for each year that you wait after turning sixty six years old. This means that in four years, you can increase your benefits by thirty two percent. Again, that is a few hundred dollars a month, but it is a few thousand dollars a year. It can make a big difference, so make sure to think about it.
What if you already started taking social security and are just learning about how you can get more in your monthly checks by waiting a few years? If you are willing to give back the money you got and less than a year has passed since you started taking social security benefits, you can still salvage the situation by returning the money.
David Giertz is a Senior Vice President at Nationwide Financial. He has 30 years of experience as a financial advisor.
Find out more about David Giertz: https://www.slideshare.net/DavidGiertz2/david-giertz-long-form-biography