Social Security
Working longer – when possible – has been generally accepted as good advice for a secure retirement. It directly increases current income; it allows people to contribute more to their 401(k)s; it shortens the period of retirement; and, importantly, delaying claiming of Social Security results in a much higher monthly benefit…
The Social Security program was designed to support lower-income retirees more by replacing a larger share of their past earnings than higher earners receive. But the subsidies that encourage workers to save for retirement tilt in the opposite direction. For this reason, White workers – who tend to earn more than Blacks and Hispanics –…
