Radio Show #131: Early retirement, Social Security strategies


A tepid August jobs report had little impact on "Jill on Money" fans, who were more interested in financial issues that hit closer to home.

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Joe from NY started the show, with a question about early retirement. Have he and his wife accumulated the assets ($2 million at retirement) necessary to call it quits at age 50?

Ron from NJ wants to know my opinion of the Social Security strategy called “File and Suspend” (sometimes referred to as “Claim Now, Claim More Later”)

File and suspend is a feature of the system can be useful for married couples, especially where one spouse has earned significantly more than the other spouse during their careers. In these cases, the lower earning spouse is usually better off claiming half of the spouse’s benefit because it is higher than the individual benefit.

File and suspend allows the primary wage earner to apply for benefits, then suspend collecting, while allowing the other spouse to start collecting spousal benefits immediately and then continuing to collect. Here’s the best part: the primary wage-earning spouse can wait to claim benefits until age 70, which increases the future individual Social Security benefit by eight percent each year between ages 66 and 70.

On the subject of Social Security and retirement income, Ang wants to make sure to factor in taxes when determining the proper amount to withdraw.

Robert from Buffalo is weighing whether or not to refinance an adjustable rate mortgage, while Scott from MO is trying to determine whether or not to pay off his outstanding mortgage.

Daud asked about the ratings of long-term care insurance providers. Finding any company willing to write LTC is difficult enough, but finding a highly rated one is even tougher. Check out the American Association for Long-Term Care Insurance for more information.

A few investment questions this week. One of particular note was from JG, who needs a plan to rotate a portion of his retirement funds into stocks. Meanwhile, John is worried about the future value of dollar-denominated assets.

Thanks to everyone who participated and to Mark, the BEST producer in the world. If you have a financial question, there are lots of ways to contact us:

  • Call 855-411-JILL and we'll schedule time to get you on the show LIVE