Similar to doing a SS Break-Even analysis - can you do a video on retiring before the age of 62 (with a supplement) versus waiting for the "bump" at age 62. Curious if it would show that break--even would be in the late 70's or early 80's. It may not be worth waiting for the "bump" - curious on what that data looks like. thanks
Inflation is never going to stop increasing or even keep goods and services at the current prices and proof is below with historical averages of the cost of living increases that beneficiaries receive in the past 48 years. The cost of living increase for Social Security Benefits between 1975 to 2023 is 3.8%. Of course, that'sj just the average. There were some yearsi with 0% increases (most recently, 2015) and some with double-digit increases (1980 andi 1981). There has been no increase of 6% or more since 1983 -- except for 2022, which featured an 8.7% hike. That means that inflation rate increase total of 182.4% over the past 48 years! Which in 1975 the average benfit was $257 and if that individual lived in 2023 their benefit would be $1540 a month. In saying that not being proactive and not planning personal finances for future inflation of goods and by budgeting, eliminating debts, and saving for the future unexpected expenses will lead to financial hardships.
In the example, Christian accidentally wrote and spoke about $150,000 High 3 X 20 years of service X 1%. What he meant was 30 years of service.
Please discuss deferred and postponed FERS in future video. thanks
Bob’s annual is 30k for 20yrs of service and Sue’s is 33k based on 20yrs. Assuming you meant 30 yrs for Bob it would be 45k.
Similar to doing a SS Break-Even analysis - can you do a video on retiring before the age of 62 (with a supplement) versus waiting for the "bump" at age 62. Curious if it would show that break--even would be in the late 70's or early 80's. It may not be worth waiting for the "bump" - curious on what that data looks like. thanks
Inflation is never going to stop increasing or even keep goods and services at the current prices and proof is below with historical averages of the cost of living increases that beneficiaries receive in the past 48 years.
The cost of living increase for Social Security Benefits between 1975 to 2023 is 3.8%. Of course, that'sj just the average. There were some yearsi with 0% increases (most recently, 2015) and some with double-digit increases (1980 andi 1981). There has been no increase of 6% or more since 1983 -- except for 2022, which featured an 8.7% hike. That means that inflation rate increase total of 182.4% over the past 48 years! Which in 1975 the average benfit was $257 and if that individual lived in 2023 their benefit would be $1540 a month.
In saying that not being proactive and not planning personal finances for future inflation of goods and by budgeting, eliminating debts, and saving for the future unexpected expenses will lead to financial hardships.