Posted by Indiana Ken on March 26, 2016 at 18:42:06 from (67.163.32.18):
In Reply to: Medicare question posted by rrlund on March 26, 2016 at 12:20:24:
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I don't believe the 8% is interest, but rather the increase in payment amount, since by waiting you will recieve what is due you in a lower number of payments. In other words, bigger checks but less of them. In addition, they don't give it back to you in a lump sum at 66. They re-calculate your payments such that you will get the "dinged" amount back in your expected life time, assuming you live that long. There would be some cost of living increase recouped from the increased payments over time.
Some people simply need the money and take SS as early as possible. In your case, if you don't need the money then you have options. I retired at 57 and started SS at 66.
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