2. Some seniors may delay benefits
Contrary to our earlier point, some seniors might wish to delay benefits, even if they hadn’t planned on it priorly. That’s because waiting until you’re 70 will increase them by 8% for each year you hold off past your retirement age. That 8% could be the difference between struggling during retirement and being comfortable.
But why would you choose this approach? Well, if you have a 401(k) and an IRA, you might notice the balances in those accounts have gone down since the beginning of the pandemic.
In order to offset these dramatic drops, older Americans should look for ways to gain more money. Since the current climate hardly allows for side gigs or more working hours, relying on the 8% increase in Social Benefits seems to be the only way.
