WRKO>Audio & Video on Demand>>Kurt Czarnowski, our social security guru, chats with Barry

Kurt Czarnowski, our social security guru, chats with Barry

Feb 24, 2012|

Our resident social security expert answers your questions and gives advice on social security issues!

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

The S&P 500 is up eight point 4% since January 1 it's been on a heck of a run. In the stock market's gonna opening twelve minutes. How the futures -- June. Good -- and Dow up ten NASDAQ up one S&P is flat at thirteen 64 a ten year treasury is -- one point 983. You've got gold that's down eight dollars oil is up 55 cents to 108 dollars 37 cents a barrel this. All ahead of those January new home sales numbers coming out and. About forty minutes -- so. -- we're gonna spend some time talking to Kurds are now ski about Social Security if you have your own private question for -- are now -- you can text back question to a set 68680. June we'll address that and get it over to Kurt so you can get your questions answered regarding Social Security benefits 608680. Is our text number. In June. Everybody I don't know anybody that wouldn't want to get more money from Social Security what it's shocking that the Social Security Office might not tell you. All of the ways to get more money out of your Social Security actually -- used to do that for a living he's retired now Kurt welcome to the show -- you don't. -- very good morning just to to be back. You used to do that right used to run around dead new England and doing seminars and talk and a public groups about how they can get more money out of their Social Security or at least different strategies that are available. Absolutely and I'd always get my remarks by saying I am from the federal government I'm here to help you. Well I -- they're from the federal government anymore but I can still help people understand. How the Social Security system fits into the world world retirement plans and one of the things. You know the social security and responsibility to help people -- you and I've talked about sure people understand what they can now. Do under the system the folks at Social Security they're not advisors. They're not in any position to. -- people of a particular direction tell them what they should that that's what both should be working with a that it would -- that but it's Social Security. They're gonna tell you which you can do what. Explains some of those options to view if you -- asking west. Are they not allowed to give advice -- if I walked into a Social Security Office and I -- hail and get some advice about when I should collect my Social Security. Are they told not to give advice. Well again it's. They're not gonna tell you what if you. Could that do there's gonna explain the options to you would explain what you. Tend to win in other words they'll say you know if you command prior to your full retirement age. You're going to get less on a monthly -- That you would receive if you waited how much less what roughly half percent per month to Safeway they'll say if you want to wait half. Your full retirement age. You benefit will be increased -- in these delayed retirement credit so -- -- payment will be. Two thirds percent higher for each month passed your full retirement age. That you don't collect you know the -- percent per year. The and that's the part I wanna learn about I wanted to learn and wanna teach our listeners how they can get more from Social Security. Talk to us about the strategy that is being embraced by working couples you know more and more marriages now have two income Z you've got. The husbands out work in and the -- -- working and sometimes awake -- -- state home to raise the kids but -- age 45 she goes back into the workplace. But more and more when I talked to listeners. I find that -- two income whole household how connect to were how can a working couple generate more Social Security benefits. -- and you know one of the things that people need to understand that under the program. Which it isn't likely would be advice you've been giving listeners for years period. There are certain advantages built into the program by waiting to collect by waiting at least until you're. Full retirement age of I always say when your finger out to do under Social Security got to understand what it's considered your whole retirement age for folks -- between 43 and 54. That age 66 but what to hit that magic for retirement is that the hope to stop you can -- under the program but he can't do. Prior to the containment of all retirement -- of one of those we talked about is that. At your full retirement at age you can continue to work and burn as much money if you want. And it won't reduce your Social Security payments whatsoever to hitting full retirement age you can work earn as much as you want. What are the other advantage is that people have -- of the program is that. If you come the Social Security prior to it came out of your full retirement age. And you have worked and paid into the system. You can't just filed for -- spousal benefit only you're required to file for your own payment first and and the system looks to see if you might be eligible for some. More money under. Your spouse's. Work for the right well once she would painful retirement age that goes away and you have the ability to pick in actions. And so what are the strategies that people are latching onto. Is that back. You can have one member of a couple who has say. Applied for benefits than it's collecting in programs totally gender Drupal neutral but what they Ferrari they belated is the husband. Who has. Started to collect his social security and at the white. Full retirement date. 66. She can command and at that point file -- eight spouse's. Benefit only. Now what that means is she's not applying for her own -- that. -- benefit will burn delayed retirement credits going. Forward -- as he's getting may be 8900 dollars a month find out -- Out of her husband and so this was a way that. She can continue to increase their payment by 8% per year -- but draw a spouse's benefit. In the -- And that's free money -- they're I want to emphasize this our listeners this is critical information that you won't get anywhere else you can collect. Half of your spouse's benefit and then she can just keep working right and then collect her own benefit at age seventy this is a windfall this could be at a thousand dollars a month or more of free money for four years. Absolutely and it's important to point out that again because she's at her full retirement age she can continue. To work. And collect that's spouses payment at the same time now the other thing that that. Ongoing work activity is gonna do for her is potentially. Increase Serb payment because. Social Security look at -- highest. 35 years of work in earnings in calculating the amount of the benefits so. If that's -- continues to work continues to pay into the system and her earnings. Are high here than the lowest of the 35 years that has been years now. In many cases women have not had 35 years of this system because they've taken timeout to raise kids -- care prepare do you think like that. Ten donate your time and time will always. -- -- EIC a lot curtain and and night. What I find amazing is that this is a fairly simple strategy that goes overlooked maybe people don't take advantage of it. They should it's free money and then when they turn 87. Folks and I wanna remind you if you -- -- question -- you can text that's our text number in the studio 608680. We have a consultant to -- -- so are now ski he's an expert in the field the Social Security your questions will be answered 68680 -- our text number. Let's take a look 8603 asks is it really worth waiting for 8% increase. If you push the numbers it takes a long time to recoup the -- difference of drawing it fully to vs waiting. Tough question -- -- a -- based on life expectancy. At apple tread very we've talked about that before the other -- decision about what the collective the very simple one to make if you know. When you're gonna die. And nobody knows that so you'll make your best depth and -- life expectancy increasing. You know Social Security. Done a study of today's 65 year old woman four of them live at age 9110. Of Olympic age. 95. And so. As we've talked about -- the show if you can't afford to -- -- it just seems to make more sense to do so because one way to look at it is. It today is retirement world the -- has been shifted to the individual you'd generally you're gonna retire. Without Holcomb money that you have to figure out how to make last. Your lifetime. Social Security one of the few defined benefit pension gonna ensure that pay you right up until the time you passed away in all likelihood. You're more likely to run out of money. Towards the tip of your life and by deferring it ensuring a higher benefit going forward you know what way to look at it is it's helping to -- war. That you won't run out of money. In those last few years what you may have exhausted. That 401K. Pool of money that you took what you what you had to do with all the support they barely saw another strategy yup they're from folks can't. Which basically takes that. I call. That we talked about before claims some now -- later -- a -- about -- -- because what are the other things that people can do to get fooled with Germany. But they can do before it that they can -- the Social Security. Filed an application for benefits and then request that their benefit payments be suspended. Now. In couple cases when might -- be operate it used. So you've got trouble. Member that the couple up now -- wanna keep working yup so you've got again totally typical book for example say the husband comes in. Well they've both members of the couple are all retirement age he comes in. I open application of war -- benefit and then request that is benefit payments -- suspended. You're not gonna collect -- -- -- is gonna burn is delayed retirement credit so his benefits and increased by 8% not collecting. We can combine that with the strategy we've talked about previously the other member of the couple -- -- the same time. Files or eight spouse's. Benefit only -- Does not file on her own account -- in the late retirement credit going forward did so by combining. I won't suspend them collect some now collect more later. Neither couple of collecting on their own account at the moment they're burning those 8% believe retirement credit going forward but it'll house. The member of that sort of styles one member of the couple would get something and this is driven by the fact that. Or is -- to collect anything. The primary worker hack who have applied for benefits and so by that first worker filing and suspending -- applied which triggers eligibility for the battles. And at full retirement age she can file race spouses that hospital was so that again a way for them to get well. -- come from Social Security while they're both. Earning those delayed retirement credit and again assuming there at full retirement major -- can continue to work. And it and it won't reduce their payment. And get more and more Kurtz and announced you're the best thanks for joining us on WRKO today -- -- -- did they take care.