Financial PlanningRetirementTaxes7 Questions about Social Security

Mike Lynch, Managing Director of Hartford Funds’ Applied Insights, shares seven of the most common and critical questions he’s asked when speaking to investor audiences about Social Security.

 

1. “When should I take my benefit? Are my options only age 62, or full retirement age?” 

What most folks don’t realize is that you can file at 63, 64, and beyond until you reach full retirement age. In fact, generally speaking, the longer you wait, the larger the benefit.

2. “Do I have to take my benefit by full retirement age? Can I wait longer than that?” 

You can wait until after you reach full retirement age. By doing so, your benefit will increase by a maximum of 8 percent per year for each year you delay between full retirement age and age 70.

3. “Can I file and continue to work?” 

You can, but there are income limits prior to full retirement age that may affect your benefit. Your benefit may be reduced dramatically so it’s important to consider this prior to enrolling.

4. “What if I decide to go back to work after reaching full retirement age? Will my benefit be reduced?” 

Once you reach and surpass full retirement age, your benefit will not be reduced if you continue to work.

5. “Must my spouse and I choose the same options/timing?” 

No, there are a number of options that you and your spouse can individually consider when choosing your benefits. It’s important to come up with a strategy that makes the most sense for your situation.

6. “Is my Social Security taxable?”   

Two things are inevitable: death and taxes. Your benefit may be taxable but it depends on your combined income. Discuss this with your tax professional before you enroll or file.

7. “Shouldn’t I just enroll as early as possible in case I pass away?”   

While this isn’t something anyone really wants to think about, it is a factor to consider. Filing early means a lower benefit, and if you live to be 100, your benefit will always be based on that lower amount. If you file early and do pass away, your spouse may receive a lower survivor benefit than if you’d waited longer to file.

Too often we think of Social Security in terms of when instead of what. To have a successful retirement, it’s important to think about what income you need vs. when you should file.

Talk to your financial professional to evaluate your overall portfolio and create an income plan.

 

This material is general marketing material, and provides only general plan and retirement information. This material is not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, investors should consult a tax or legal counsel for advice. Hartford Funds is not providing any investment advice of any kind (impartial or otherwise) in this material and is not acting as a fiduciary in connection with the preparation or distribution of this material. Investors should consult their own financial professional for advice or recommendations with respect to the information addressed in this material.

Hartford Funds Distributors, LLC, Member FINRA.  MAI027_0321  222670

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Holly Farrar

Client Services Associate

As director of First Impressions, I strive to make sure our clients have a comfortable and meaningful experience while providing remarkable customer service at the highest standards. I enjoy going to local Everett events and festivities while spending time with friends and family. I love to read, especially dystopian novels.  I am involved in volunteering opportunities within the community including grocery shopping for homebound people, coffee trailer and first responder appreciation.

Education and Biography

Training

Holly Studied Business and Management at Sno-Isle Business and Management & Everett Community College. She has over 20 years of customer service and administrative experience.

Specialisms

Holly’s focus is to create meaningful connections between our clients and our office. She schedules appointments, answers calls, processes transactions, preparing paperwork to maintain accounts as well as opening new accounts, and transfers.

Albert Ballesteros

With over 25 years of customer service working in the Financial Industry and the State of Washington, Albert is a welcome addition to the service team. He helps with opening new accounts and servicing current accounts. You have probably received appointment reminders from him. He also works with the marketing team in planning monthly letters to clients, planning special events and creating the weekly newsletters.
In his spare time, he volunteers at Northshore Christian Church, having completed two mission trips to the Philippines and has a passion for singing. He enjoys playing and watching most sports but is especially an avid fan of the Everett Silvertips.

Education and Biography

TRAINING

Albert attended Honolulu Community College where he obtained his AA in Liberal Arts.

SPECIALISMS

Albert joined Bailey Wealth Services in 2022. His focus is to provide support to both prospective and existing customers with exceptional customer service. He is very personable and brings professionalism to his role.

Wes Burroughs

One of the things I enjoy most about what I do is educating clients on what is available to them as an investor. Our clients know where they’re at financially and where they are going because we make breaking down the complexities of a constantly changing world a top priority. Outside of work, I love spending time with my wife, Blyn, and playing with our daughter, Sophia. I also enjoy running and hosting game night with friends.

Education and Biography

TRAINING
Wes attended Liberty University where he obtained his BA in Philosophy.

SPECIALISMS
Wes joined Bailey Wealth Services in 2021. His focus is helping families maintain and grow the wealth they already have. Wes enjoys working with our valued clients to facilitate financial relationships by providing solutions, solving problems, and helping them manage their financial lives.

A. Sean Bailey, CFP®

My mission is to assist families as they strive to acquire, accumulate and retain wealth in a tax efficient manner so they may live in retirement with confidence and dignity. When I’m not engaged in professional activities, you can find me on a mountain top with my wife, Kim, and our two children, Eleanor and Oscar.

Education and Biography

TRAINING
Sean received his Bachelor’s Degree in Business Administration, Finance Concentration, from the University of Washington.

SPECIALISMS
Sean Bailey has been in the financial services industry for 30 years. He specializes in developing comprehensive financial, estate and retirement planning strategies for clients nearing and in retirement. Sean is a Registered Principal and Investment Advisor with LPL Financial. He is a CERTIFIED FINANCIAL PLANNER™ Practitioner. Sean is also a member of the Financial Planning Association and Ed Slott’s Elite IRA Advisor Group.

Ed Slott’s Elite IRA Advisor Group is not affiliated with Bailey Wealth Services or LPL Financial.

Sonya Jones

I endeavor to provide excellent service to our clients and organizing processes and procedures to ensure our office runs smoothly. When not working, I enjoy spending time with my fiancé, Erik, and our two boys, Lukas and Archer along with our dog Pixie. I love cooking for them and experimenting with different recipes and techniques, including treats for Pixie. Our favorite family activity is taking road trips, especially to California to visit family and friends.

Education and Biography

TRAINING

 

Sonya received her BA in Art at California State University, Chico and has over 25 years of administrative and customer service experience in the financial services and accounting industries.

 

SPECIALISMS

 

Sonya’s focus is to help clients reach their financial goals by assisting them with their various transactions and paperwork to service and maintain their accounts. This includes opening new accounts and initiating transfers from and to financial institutions. Sonya is constantly looking for new ways to improve our processes to ensure we work efficiently and in a manner that creatives positive experiences for our clients.

Sonya Jones

I endeavor to provide excellent service to our clients and organizing processes and procedures to ensure our office runs smoothly. When not working, I enjoy spending time with my fiancé, Erik, and our two boys, Lukas and Archer along with our dog Pixie. I love cooking for them and experimenting with different recipes and techniques, including treats for Pixie. Our favorite family activity is taking road trips, especially to California to visit family and friends.

Education and Biography

TRAINING
Sonya received her BA in Art at California State University, Chico and has over 25 years of administrative and customer service experience in the financial services and accounting industries.

SPECIALISMS
Sonya’s focus is to help clients reach their financial goals by assisting them with their various transactions and paperwork to service and maintain their accounts. This includes opening new accounts and initiating transfers from and to financial institutions. Sonya is constantly looking for new ways to improve our processes to ensure we work efficiently and in a manner that creatives positive experiences for our clients.