retirement

Social Security Early Retirement: Will You Be Able To Bear The Lesser Benefits?

Social Security is meant to provide Americans that have reached their twilight years with a source of income which will hopefully help them see through their retirement years. Though the scope of modern Social Security has widened, retirement benefits are still a cornerstone of this excellent program. However, in regard to social security early retirement there are a few facts to be aware of especially as this step means receiving fewer benefits, though even if you plan to retire at the age of sixty-two then you may get to enjoy considerably lesser benefits from Social Security because of retiring before the full retirement age.

An Infatuation

The trouble is that many Americans are infatuated with the thought of early retirement and so they are prone to disregard any social security early retirement loss of benefits. They are quite happy to take lesser social security early retirement benefits because they are not willing to wait till the age of full retirement. For such people, a loss of approximately 5/9th or one percent on a monthly basis before retirement date is acceptable.

In fact, for those people that are supposed to take proper retirement at the age of sixty-seven and who plan on retiring early at the age of sixty-two there are social security early retirement losses to the tune of about thirty percent which is a considerable amount of loss. What's even worse is the fact that this loss is permanent and it also means loss of eligibility for increase in benefits upon attaining the age of full retirement.

That being said, there is still hope for those contemplating social security early retirement because in certain cases it is not such a bad deal. The loss on a monthly basis is offset by the fact that you are receiving your benefits well before your full retirement age.

When planning for social security early retirement there are a few steps that should be taken to help you continue receiving a tidy sum of money. First off, you must set realistic goals and you must also plan your social security early retirement step well in advance of the actual date of early retirement. It also means paying off all of your debts prior to taking early retirement in order to enjoy your retirement income to its fullest.

As for early retirement incentive, it is something that employers offer their employees as a means to change their personnel and it would be wrong to assume that these incentives are meant to provide employees with easy retirement along with a good income. So, before taking early retirement you must be fully conversant with the different pros and cons of early retirement including also learning about every kind of incentive being offered.