Social Security reduction factor: Raising the full retirement age
One of the most commonly suggested solutions by Republicans for fixing Social Security’s long-term cash shortfall is to increase the full retirement age. This is the time when eligible beneficiaries can receive their full retired worker benefit, as specified by their birth year.
If you start obtaining your entitlement at any point before you reach the full retirement age, you’ll be accepting a reduction to your monthly payout permanently.
But if you choose to wait until after your full retirement age to claim these benefits, you can receive over 100% of your total monthly use. The full retirement age has been slowly increasing, much slower than longevity.
People are starting to live longer. So today’s retirees can receive a Social Security benefit for much longer than their parents or grandparents did. Unfortunately, though, that has put a strain on the program.
To fix this issue, lawmakers could consider this Social Security reduction factor to gradually raise the full retirement age from its expected peak of 67 for those born in or after 1960 to 68, 69, or 70 years old.
Afterward, seniors would either accept a lower discount in their monthly payout by claiming early or wait a bit longer to receive their full benefit. Either way, this results in a reduced lifetime Social Security benefit.
2 Responses
Are you fear mongering? Are you a senior! you know this first hand? Do you have a solution? If Not why are you scaring senior. You will be senior like it or not? Are you prepared?
you or such a hateful person to scare old people? What is wrong with you? out of ideas for article? Or you just a Democrate. They were the first one to try to take ss away? Tell the truth Be sure old people know this.It will last until you need SS and then gone? What will you do? better get rich quick!