The Impact of Social Security Myths and Misunderstandings
Many folks aging into Social Security eligibility have preconceived notions about this massive program; unfortunately, these notions are often based on erroneous information that has been accumulated along the way. Take, for example, the explanation that many folks put forth for filing at the earliest point of eligibility: the program is heading for bankruptcy and may evaporate if I wait too long. This myth has a tendency to keep resurfacing, despite numerous media explanations regarding the simple fact that continuation of payroll taxes will keep the system afloat indefinitely, albeit at a potentially reduced level if no legislative action is taken to deal with the depletion of Trust Fund balances.
Beyond this bankruptcy untruth, there are several other key misunderstandings that can cause beneficiaries to lose out. Personal finance reporter Lorie Konish, in a post on www.cnbc.com, offers insights that dispell some of the more prevalent of the misleading assumptions. From the reasons for filing early to the belief that the recordkeeping done on your behalf is always accurate, her post explains the reasons why knowledge is critical to making the best decisions. Read her post here…
Also, it’s a good idea to consult with knowledgeable sources if you have any questions, or just to verify any assumptions you’ve already made. The AMAC Foundation offers a Social Security Advisory Service that can help you in this regard. Learn more about this free-to-the-public service via the Foundation’s website, and send any questions you have to us via email for a quick response.