Preparing for your financial future is a very important responsibility that all people share. When it comes to planning for their future, one of the biggest misconceptions that people have is about how Social Security will benefit them in retirement. Financial expert David Giertz is very well aware of the common perceptions of Social Security and recommends that people and financial advisors get more educated on a variety of related topics as it could help them better prepare of the future.
One of the factors that many people need to better understand when it comes to Social Security is how their age will impact benefits. People will generally have the right to start taking their benefits when they turn 62 years of age. However, the amount of money that you can receive on a monthly basis will continue to increase in value the longer you wait before maxing out at age 72. Because of this, it is often advisable that people wait until they are older before they start to take their benefits.
Another factor that can impact their benefits are future changes to the system. While the system has been in place for a long period of time, a lot of factors are putting financial strain on it. Because of this, many are concerned that the system will start to lose money in the future. Due to this fact, most agree that there is a good chance that benefits will be reduced in the future. The reduction will likely come from a reduction in the financial benefit as well as the age when benefits can start to be taken.
Due to the importance of social security and the amount of uncertainty that surrounds it, working with a financial advisor is very important. They will be able to better help you to predict your long-term benefits as well as give you advice regarding how you could protect yourself against changes in the benefit structure and overall plan.