Can the Actuarial Reduction for Social Security Early Retirement Still Be Right
The option to claim Social Security benefits earlier than the program’s Full Retirement Age, in exchange for receiving an actuarially reduced benefit, is a key feature of the nation’s Social Security program. This principle remained in place when Congress increased the Full Retirement Age from 65 to 67. Most workers choose to claim early and retire on the reduced benefits. The option to claim early was enacted over 50 years ago, when Congress set 62 as the program’s Earliest Age of Eligibility. To make up for the extra three years of benefit payments, those claiming at 62 received 20 percent less in monthly benefits than if they had claimed at 65. Despite a significant increase in life expectancy in the intervening years, benefits claimed at 62 today are still about 20 percent less than benefits claimed at 65. This brief asks whether this actuarial reduction is still correct...
Does it pay to delay social security
Social Security benefits may be commenced at any time between ages 62 and 70. As individuals who claim later can, on average, expect to receive benefits for a shorter period, an actuarial adjustment is made to the monthly benefit to reflect the age at which benefits are claimed. We investigate the actuarial fairness of that adjustment in light of recent improvements in mortality and historically low interest rates. We show that delaying is actuarially advantageous for a large number of people, even for individuals with mortality rates that are twice the average. At real interest rates closer to their historical average, singles with mortality that is substantially greater than average do not benefit from delay, although primary earners with high mortality can still improve the present value of the household's benefits through delay. We also investigate the extent to which the actuarial advantage of delay has grown since the early 1960s, when the choice of when to claim first became available, and we decompose this growth into three effects: (1) the effect of changes in Social Security's rules, (2) the effect of changes in the real interest rate, and (3) the effect of changes in life expectancy. Finally, we quantify the extent to which the gains from delay can be expected to increase in the future as a result of mortality improvements.
France in the Middle Ages 987-1460 : from Hugh Capet to Joan of Arc
Translatora s Note. Foreword. List of Illustrations. List of Genealogical Tables. Part I: The Inheritance: . 1. The Empire. 2. The Frankish People. 3. The Principalities. 4. Disturbances. Part II: Lordship:. 5. The Village. 6. The Castle. 7. The Church. 8. King and Lord. Part III: Origins of State and Nation:. 9. The Great Age of Progress. 10. Louis VII. 11. Philip Augustus. 12. The South. 13. The Thirteenth Century. 14. The Fourteenth Century. 15. The Maid of Orleans. Epilogue. Chronology. Bibliography. Index.