plan for your kids' college tuition

Do you have kids? Do you have plans for your kids to go to college one day? Have you looked at how much college is going to cost you for just one kid? College is a big investment, but it is a good one. If you begin planning for this huge expense when your kids are young, you won't take much of a hit when the day comes that your teen packs his or her bags and heads off to start a new life at school. This blog will provide you with several ideas and tips that can help you find ways to plan for your kids' college tuition.

Deciding When To Start Receiving Social Security Retirement Income


An integral part of most personal retirement plans is Social Security benefits. The availability of Social Security income affects the planning of other distributions. Individuals planning for retirement can achieve a more comprehensive financial plan by determining the optimal age at which to begin receiving Social Security payments.

Individuals may receive full Social Security benefits at a designated age, but reduced benefits are available at an earlier age. Social Security income may also be delayed beyond an individual's full retirement age to increase the monthly payment amount.

Full retirement age

The earliest age at which full Social Security benefits may be started ranges from age 65 to age 67. The exact full retirement age is measured in both years and months for many individuals.

Full retirement age is 65 years for individuals born in 1937 or earlier. For individuals born in 1960 or after, full retirement age is 67. For everyone else, full retirement age is measured in both years and months. Full retirement age for individuals born from 1938 to 1959 ranges from 65 years and two months, to 66 years and ten months.

Once your Social Security begins, the amount usually remains the same for the remainder of your life. The Social Security Administration may slightly raise payments periodically to reflect price inflation. Knowing your full retirement age is important because it determines the amount of your monthly payment if you choose to start your Social Security benefits at an earlier or later age.

Early retirement

If your financial plan warrants it, you may receive Social Security benefits as early as age 62. The drawback is that the amount of your monthly payment is reduced. Based on the full retirement age for your year of birth, your benefit is reduced by a designated percentage.

Delayed retirement

You may choose to delay the receipt of Social Security until you are beyond your full retirement age. The latest that you may start receiving Social Security is age 70. Because of the delayed benefit, the payment amount is increased by a designated percentage based on your year of birth.

The option to receive Social Security provides a useful tool to plan ahead for the years after age 62. The monthly payments to be received after age 70 are dependent on choices made for the earlier years.

The percentage increase in Social Security for each year delayed is more than the average return on some investments. However, the receipt of income in earlier years offsets some of the advantage of larger payments later. Contact a financial advisor like Wealth Builder Advisor for more information on how Social Security fits into your retirement plan.


13 October 2015