Tag: Social Security Claiming Behavior
Abstract The paper examines why most individuals claim Social Security benefits before the full retirement age. Early claiming results in a substantial reduction in pension income, yet many people claim as early as possible, age 62, or soon thereafter. Since delaying claiming is equivalent to purchasing additional annuity income, this behavior is consistent with t…
Disclaimer: The U.S. Social Security Administration substantially limited the use of the “free loan” strategy in 2010, see press release | federal ruling Abstract When to claim Social Security is one of the most important decisions Americans face when approaching retirement. Recently, several unconventional claiming strategies have come to light – “Free Loan,” “Claim and Suspend,” and “Claim…
