Health insurance for employees is pathetic! They charge employees for the premium and don't even reimburse the expenses! It's a scam!

The Social Security Trust Fund is not bankrupt. The government just needs to pay back all the money they borrowed from it. Why can’t we as taxpayers sue the government for A breach of fiduciary duty. Or for a conspiracy to defraud the taxpayers of America. That has to be something that we can do.

When I did the math for my situation it seemed right to take it at 62, I still have to do a little research in the tax implications but other than that it seems like no brainer. I won't see any extra funds until 79 and eight months and every year I delay only pulls that in by 2 month. So if I live into my 80s or 90s I would have a few extra dollars if I delay but to do what with? In early 60 years most people are still heathy enough to be able to go out, travel, do what they want. By the time most get to 67 full retirement, they are already beginning to have health issues. The extra 5 healthy years up front is worth way more that a couple of hundred extra dollars in my 80s.

Can I do a mega back door roth 401k if my plan allows for after tax contributions and in plan conversion? Are there prorata tax penalties if I have a traditional ira and roth ira outside of my work plan ? I only plan to convert my after tax contributions to my Roth 401k. Thanks.

I have one question do u still get paid if u retired from Amazon at a early age yes or no

Locking your money in fixed-rate CDs carries the danger that your money could lose its purchasing power over time if your interest gains are overtaken by inflation.

Terrific vid. I am 65 and retired with a "reasonable" amt of money in my Roth. Most of the online planners say that I'll be fine, but I don't like to believe them. Having just lived through the Covid mess and what it did to the market. I lost a lot of money in 22. Clawing it back now, but still, that was a gut punch. I am 90 percent invested in the market, 10 pct BTC. Zero in bonds. Fingers crossed.

Its about expences..Not about 10x your salary. Pleases ........

What are your thoughts on dividends? I am a DGI investor, so my goals are all about living off of dividends in retirement, which would make the withdrawal rate discussion mostly irrelevant, right?

Good video. However, I would venture to guess that the vast majority of financial advisors are incapable of computing an IRR. Many don't even understand the concept. This includes probably the most well known financial advisor into the U.S. She thinks that a annuity that pays $6,000 a year on an initial investment of $100,000 is equivalent to a 6%. It is clear that the IRR for someone who invests $100,000 at age 65, will have a zero IRR until they are past age 81,

fantastic explanation. i like that it is a data based rationale.

This is an interesting take on safe withdrawals rates. I have a couple of comments. First, I would not even get close to 50% bonds. I am already retired but a 30 year retirement is still a long time horizon to be so conservative. Second, as was mentioned towards the end of the video, the CAPE ratio is very high right now.

160,000 ah 60,000....what job did they give you other than out of touch bean counting consultant.

Great rundown!

Lets say you are 62 and the SSA tells you that at your full retirement age of 67 you will get 2000 per month. COLA is unknown for the future. Lets say COLA we estimate at 2 percent per year.If you take now at 62 you maybe work a little less or invest more with added income from taking SS now. so your check will be 1400 per month now and at age 70 it will be 1640. Lets say instead you decide to delay til 70 you may need to work full time and or have less money to invest over the next 8 years. However at age 70 when you begin taking SS your check will be 2905 per month. So if at age 70 in 8 years you need say 2640 per month to live well then you will be very happy getting 2905. However if you are only getting 1640 you are short 1000 per month so you better hope your investments can make that 1000 per month to make up for that tiny SS check.

Not a good analysis.

Very detailed explanation. Thanks a lot.

My Dad 95 years old has been collecting SS for 33 years and now I’ll retire at 62 just like he did…

Propaganda put out by people who dont want you to get back what you put in.

Assume my estate is worth 3.2 million and my home is worth 2.2 million say. So of I pass away now, I will owe estate taxes in WA on 3.2 million. If I have made a TOD on my home and it passes to my daughter on my passing. For estate tax purposes, is my estate worth 1 million or still 3.2 million after my passing? In other words, does the TOD reduce the value of my estate for estate tax purposes? Many thanks.

Just to point out you listed income as the median and expenses as the average.

So many "advisors" focus on Tne Most Money aspect? Its more of When do you need it not wben will you get the most? Im Single, i dont need to leave a Legacy? I dont wa t to die will over $1,000,000 ? I worked hard for this money, i want to enjoy it while im still Active and Able to travel ect?

I won't be maximizing my benefit by taking early...if I live past 80 years old. So your video title is misleading. When you delay you maximize. You don't maximize by taking early. You got it backwards.

What is the status of the "You earned it, you keep it" legislation...eliminating the Fed Tax on SS? Anyone know?

My question is, are they delaying retirement until the age they take social security?

It's all about the risk of living a lot longer than you expect and planning for that. If your FRA benefit is $2,000 a month, take it at 62 you get $1,400, at 70 you get $2,600, a difference of $1,200 a month, or $14,400 a year. How much would you have to pay for a lifetime annuity that will pay you $14,400 a year and adjust the benefit upwards every year for COLA? The chance of you living past 100 is slim, but doesn't mean you shouldn't plan. Similar to younger people buying life insurance, when the probability of dying is low. You buy life insurance not because it is profitable on a spreadsheet, but for managing risk you have no control over.

What about investing your SS at 62 and you made 10%. How would that fair? 10% has been the average for stock market returns.

I disagree. I took my SS at 62. No regrets. I will not mention my other retirement incomes. I couldn’t care less about a legacy.

All of these SS calculators make the assumption that SS will be around for your whole life. That is a big assumption given that the program will be insolvent in less than a decade. Furthermore, congress has NO plan to fully fund SS. Their only fix is to keep cutting benefits and increasing the eligibility age. How can they promise you more benefits if you wait when they are constantly cutting benefits? Promises of more money in the future never materialize. I am "A bird in the hand is worth two in the bush" guy. I turn 62 in 3 weeks and I have already applied for benefits. Get all you can before SS is SS in name only.

6 % increase return age 62 -67 and 8% return 67-70.

Take it at 62. Congress has NO plan to fully fund SS. Their only solution going forward is to continue cutting benefits and increasing the eligibility age. How can they promise you more benefits in the future if they continue cutting benefits? I am "A bird in the hand is worth two in the bush" guy. Promises of more money later never materialize.

Love the info and charts. We always planned on taking ss early and investing it. We don't need the money. Take it and invest the money That's our plan

I am 67 and 2 months. I still can’t decide when I should collect .

100K and taxes 15%??? I wat to live on that planet!!!

Living in a state that doesn't tax Social Security and has lower taxes, in general, helps tremendously. Do your homework.

Median household: - savings: $393K - income: $23K Soc Sec - expenditures: $58K burning down savings by $35K a year. $393K savings will be gone in 14 years. Get ready to say: "Welcome to Wal*Mart!"

Just a question..... An individual with a net worth of about 1.1 million (home, bank account and 401K)........No debt........and an income/pension of 80K. Where do they fall into the pool of retirees??? What percentile? Cuz this guy says all the time it's really not that much, but it seems to me that it is so much more than the average guy on the block. I'd love to hear your opinion. Great video, thank you.

The problem with videos like this is that, I mean aside from using averages, is no consideration is given to how well people are living with what they have. In other words it doesn’t matter if you’re average if average really isn’t good enough to allow you to live comfortably

Everybody’s situation is different.

Also, unless Congress stops kicking the can down the road, SS will only payout 80% starting in 2034-2035.

If you are relying on SS to solely sustain you in retirement, you’ve already messed up your retirement plan (it also says this on the SSA website). Most people should take it early and invest it as it will give more $$ long term. Why give up 8-9 yrs of payments for an extra $1-2K? Now you are in your 70s, the slow-go years, and not as active as in your early 60s. Having a lot of $$ is good, but don’t let it be the deciding factor. Time is your most precious resource and something you will never get back. Enjoy life while you can! I retired this past Oct at 55 and plan to take SS at 62 and invest it. I have bridge accounts to take me to 59.5 and 62. Good luck everyone!

I think most people DO NOT have a 9-10% investment return in their 60’s….Another thing to consider, if you don’t need the money, is converting traditional IRAs to Roths.. it counts as income, but you may likely be in the 12% tax bracket for marriage filing jointly, vice 22% bracket if you’re taking SS and receiving a pension.

It sounds looks retirees are forced to spend nearly $60,000 whether they have it or not.

I don’t have to worry. I don’t have $1 million dollars.

It I would have taken it at 62, I would not have been able to collect anything due to the income limit amt.

This was helpful, thanks for putting it together!

I’m curious what you think about investing in rental units. In a video called “numbers you need to know when investing in real estate”, @AskArianne shows how when you include cash flow, leveraged appreciation, and loan paydown, you can reasonably expect a 33% return. That return increases further when you factor in tax deductions like mortgage interest, property tax, operating expenses, depreciation, repairs, etc.

inflation should be factored in also, CPI is manipulated

It's just such a hassle to forgo part of living my life, all to come up with a tax strategy that would make it good to retire earlier. And in a way, the delayed retirement acts as an insurance policy, lessening the risk of running out of money due to underestimating your lifespan. I agree your health is the biggest factor.

This discounts survivor benefits. Okay for lower earnings spouse to take early but overall better to take at 70 for higher earners as that is then good income insurance for a lower earning survivor. Hard to beat the 8% annual return.