Still working, but wasn’t going to wait until I was 70. I am having taxes withheld from the SS check. I do make an OK living.
My first inclination was to increase my 401 contributions, as there is a match where I work. But there’s that 20% mandatory withholding on disbursement, right? I’m not in love with having a huge refund, I’d rather be smarter now. But where can I put this extra money to make money on it? Or, I do have a mortgage and a line of credit on a rental property–should I work those down hard with this extra?
I’m not a financial adviser, but could you share why you chose to start collecting now? It seems that you don’t need the money and waiting until you stop working will get you more.
I can theoretically get SS now, but doing so never even crossed my mind.
ETA: I do use the interest on the rental mortgage as a write off against my wages.
Oh, why? Just an expectation that I won’t live much after 70, or if I do, my health won’t be such that I will enjoy it. Bad habits, you know, bad genes (2 parents w/ALZ.) I mean, at 66, they don’t care what you make, as the SS office told me “you could make a million dollars-we don’t care at 66.” Yeah, 70 will get me more, but bad habits etc…
Most financial advisors recommend contributing up to the match limit for a 401k anyways, certainly before any other ways of saving for retirement should be considered. I guess it depends on the details of your match, but I have a hard time seeing that not being the best option.