Social Security
Changes
Just like that, two strategies that have helped our clients
take advantage of Social Security spousal benefits will be wiped out!
You probably haven't heard but the Bipartisan Budget Act of
2015 made dramatic changes to several well known Social Security claiming strategies.
Two key Social Security “loopholes” will
terminate shortly: File and Suspend and Restricted
Applications for Spousal Benefits are going away.
The new rules for restricted applications will not immediately
apply to all Americans. Workers born
before January 1, 1954 will be “grandfathered in” and still have the option to
file a restricted application.
If you turn 62 on January 2, 2016 you could receive $60,000 less in spousal benefits than the person sitting next to you who turns 62 in 2015.
For the next 6 months, anyone over full retirement age will
be able to file and suspend and have the spouse claim the spousal benefit, same
as always, but after six months file and suspend will go away.
For those of us who help clients with retirement planning
these significant changes literally save the government billions of dollars of
Social Security payouts. Is this what
you sent your representatives back to Washington to do?
There are so many things wrong with the way Congress crammed
the Social Security changes into the budget deal and passed it before anyone
could notice.
The rapid changes will leave some people unaffected but most will be worse off, depending on the turn of the calendar.
If you need help with retirement income planning now would
be the best time to examine in detail your Social Security options.
Please let me know if you’d like additional information.
Cory Payne
Beehive Insurance Retirement Planning Services
302 West 5400 South #101
Murray, UT 84107
801-685-6875 Office
801-685-2899 Fax
cpayne@beehiveinsurance.com