For example, when compared to other states, Michigan tends to be slightly different when it comes to the income front. Even though it’s one of those states that have the highest Social Security payouts, medical household income in the Wolverine State is notably below the national average, ranking 33rd.
However, Michigan also provides the seventh-lowest cost of living in the country. That’s actually one of the reasons why high-income earners move here for retirement, in order to stretch their dollars further. As a result, Michigan has the sixth-highest Social Security payout in the country.
Another factor that could explain why these 10 states are paying their retired residents more has to do with the claiming age of the beneficiaries. If salary and wages are significantly higher in most of these states, working adults may have a better chance to set aside money and invest for their future.
This may mean less of a need to claim Social Security benefits early in retirement, a decision that comes with a permanent benefit reduction. Being able to wait until full retirement age or, even better, all the way until age 70, could boost the average monthly payout in these states.
Don’t forget that Social Security will offer you an 8% delayed retirement credit to your monthly payout each year you delay claiming retirement benefits, up until age 70. Even if you’ve already started claiming them, you may want to know that you qualify for a do-over.
You have up to 12 months to withdraw your application and reapply. But keep in mind that you can only reapply once.
You may also want to read 9 Reasons Why You Should NOT Retire Early.
Cumplo 62 años, ya me puedo pensionar