A week wouldn’t be complete without a nice myth busting post like the one put out by Rich White and Investopedia today. This week, it’s the top six myths about Social Security Benefits and some of these aren’t even myths I believe but here are the ones I think are worth noting.
Myth #1: Take Payments ASAP
The idea behind this myth is that the earlier you take it the better, because you can invest the money as it comes out. The flip side is the fact that you get less by virtue of taking it sooner. The fact of the matter is that each person is different so you have assess your situation before making any decisions.
Myth #3: Working Reduces Your Benefits
This is in part true because your Social Security benefit is reduced by 50% of your earned income above $13,560. If you earn $2 over, then your benefit is reduced by $1. As it turns out, your Social Security benefit isn’t reduced permanently… it’s just deferred until after your full retirement age.
Top 6 Myths About Social Security Benefits [Yahoo! Finance]