5 ways that money accumulated in your Social Security will help your retirement

One of the good news for those who have not saved is that by being affiliated with social security they will have guaranteed income during retirement , but this will vary based on the retirement age

Photo: (Joenomias) Menno de Jong / Pixabay

Talking about the issue of retirement can be somewhat complicated, especially for those who do not receive high income, so on paper, this is difficult to save and be prepared when retirement arrives. However, although many have savings possibilities , personal finance experts assure that there is not a sufficient amount of money accumulated for retirement.

Many people have a life austere and put aside luxuries and unnecessary expenses in order to have a sufficient amount of money to allow them to live decently when they decide to retire. Undoubtedly, betting on this strategy is a good idea wherever it is seen, but coupled with this there are mechanisms that could help that this saving path is not so tortuous .

If you are one of the people who has not been saving enough and you have a few years of productive life left, perhaps it is time that you start saving and also explore what options you have so that your income destined for your retirement increases. Added to this, an option that can help you is Social Security, since being registered you have many options for this issue.

Therefore, you must take into account these five tips , which will undoubtedly serve you when you decide to retire and do not have so much trouble because you do not have the necessary funds to live:

1.- Apply for Social Security benefits

If you plan to retire, consider that you must apply for Social Security benefits , for this you must have at least 62 years. However, at that age you will hardly receive reduced benefits forever, so this option is not recommended, especially if you did not raise a large amount of money. Instead, if you retire at 62 years or more, you will get your full benefits .

2.- Money until death

After the benefits, Social Security will be providing you monthly payments equal to 40% of your earned salary , therefore it is essential that you retire so young because said income may be significantly less than what you could receive if you decide to do it at 67 years or later. Therefore, it is essential that you focus on this section before you opt for withdrawal.

3.- Increase your benefits

If you choose to delay retirement with the aim of raising your benefits that will impact on a better remuneration for retirement, then the first step you must do is delay your retirement from work activity to 70 years or more, with this move you could increase to 24% your monthly income by saying goodbye to force labor. This movement must be done in advance directly at Social Security.

4.- Withdrawal calculator

One of the benefits provided by Social Security to those who are part of it is that they can always help you with everything related to your retirement, based on the above, one of the tools that you can use for that purpose is the retirement calculator with this application you will know exactly how much money you have quoted and you can save, do not forget that the Insurance Social in retirement only covers you 40% of your salary income.

5 .-Social Security and private insurance

Based on the fact that only Social Security you only get a percentage limit of $ 40% of income, the institution encourages all its beneficiaries to seek retirement insurance and invest in this as much as possible before that working life ends. In addition, Social Security has said that before retirement you should think about the cost of living starting from the annual percentage of inflation.

You may also like: Biden government is willing to invest millions for migrants to obtain citizenship