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OT –Advertisement (starting Social Security)

Discussion in 'Uncategorized Threads' started by dmarbell, Jan 11, 2008.

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  1. dmarbell

    dmarbell Active Member

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    I am developing a specific campaign to help pre-retirees determine the best time to start their social security. I need practical experience with pre-retirees contemplating the start of their SS payments, or retirees who have not yet started the payments.

    I have 27 years experience in financial services, and operate only in the state of NC. I want to work with people not in NC, so you can feel comfortable with the fact that I am not going to sell you anything. The work will be pro bono, meaning no fees.

    Together we will discuss qualified money (IRAs) and non-qualified money, other retirement income, cash flow with and without SS, home equity, income tax implications, and the effects of life expectancy on the decision.

    You will receive impartial advice, colored only by my attitude towards this type of planning. I will receive practical experience in working with people trying to make this type of decision.

    I want to work with 5 to 10 people. I am covered by several privacy rules, so you don’t have to worry about disclosure, although I can work with summaries which will keep the disclosure to a minimum.

    My email is above. Please include “TS.com SS Study” in the subject of the email. I will provide references upon request, perhaps even one or two from this site.

    Danny Marbell, Jr.
    CPA, CFP
     
  2. halfmile

    halfmile Well-Known Member

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    Not to pee in your pool but I would think you should have some CFP or CFA credentials to seek clients for this type of business.

    You speak of a lot more than simple SS payments. I think everyone knows you can start whenever you want after age 62.

    Also the fact is that collecting at 62 compared to 65, it takes till age 77 for the 2 scenarios to even out.

    HM
     
  3. dmarbell

    dmarbell Active Member

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    halfmile,

    Fair enough question. I am a CFP, since 1991, but was reluctant to put that on the board. I added that to the original post. The disclosure rules are different, but with pro bono work, I'll throw that caution to the wind. CFAs usually end up doing security analysis work. Because so many of the large brokerage houses now require a CFP designation, it has become synonymous with securities sales and portfolio management. CPA for most people means bean counter and tax preparer. I have two of the three "advantages" going for me. One of my "hobbies" over my career has been present value theory, which is ignored in most analyses.

    Many people can calculate the break-even ages for the various start dates. What makes the decision complex is the effect of income taxes and asset withdrawals on the money needed to live on from 62, or 65 or 66, until age 70. With half your SS included in provisional income for income tax calculation purposes, and up to 85% of your SS included in your taxable income, the analysis is not so simple. And start at age 62 and start IRA withdrawals at age 70, you might actually have less money to live on because of the tax effect.

    Danny
     
  4. Hipshot 3

    Hipshot 3 TS Member

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    I started mine at 45!
     
  5. dmarbell

    dmarbell Active Member

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    Not much participation so far. Only two took me up on the offer. Remember, this is like a study to see how to approach the subject. Kind of like a investigational study on a drug.

    It's not as simple as people think.

    I just ran an example of a retired couple, in their late 60s, both taking SS. Retirement income from pensions of $33,104 plus the SS of $34,896. They wanted to take an additional $10,000 from IRAs.

    Taxable income went from $25,773 to $44,273. Their federal tax increased by 2,775. That's a 27.75% increase in federal taxes on an increase in taxable income squarely in the 15% bracket!

    When you add in the NC tax increase, their overall marginal tax on the $10,000 additional income was 34.31%.

    Arranging your taxable income to avoid the additional tax on SS income is a "permanent difference." Conversely, postponing the withdrawals from IRAs is a "timing difference." You will have to pay the tax sooner or later. The only thing that matters is the tax rate, now vs. then.

    Danny
     
  6. finger

    finger TS Member

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    Danny: I sent you an e-mail. bob finger
     
  7. cubancigar2000

    cubancigar2000 Well-Known Member

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    I turned 65 in Sept and start getting checks in Feb, it cost me very little to get it 5 months early
     
  8. merlynstrapguns

    merlynstrapguns Well-Known Member

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    I started collecting SS checks @ 62, Since then, my body has steadily gone to $hi!. I think the damn checks are loaded with old-age related germs and I would recomend not getting in a hurry to collect them!!!! JMHO....merlyn...
     
  9. Hipshot 3

    Hipshot 3 TS Member

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    merlyn....Funny, but I experienced the same thing!
     
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