Some options that may provide the resources you need while deferring claim of your Social Security benefits:
continuing to work or, if already retired, going back to work at least part-time
drawing from pre-tax retirement accounts, such as IRA, 401(k), 403(b) and then scaling back once you claim Social Security
drawing from after-tax savings and investments
combination of the above
I've helped clients "play chess" with their various retirement resources in a way that's tax-smart and enables them to defer SS for a much larger claim in the future. Consider that deferring claim of SS and instead drawing from pre-tax retirement accounts in the meantime:
reduces your retirement account, thereby reducing future taxes on Required Minimum Distributions (RMDs) you must take starting age 70 1/2
uses up 100% taxable retirement dollars while you grow (at 8% per year after Full Retirement Age) your SS, which at most will only be 85% federally taxable
most states that levy an income tax do not even tax SS benefits, but pre-tax retirement account distributions are 100% taxable
I'd encourage you to tap the expertise of a genuine Retirement Planning specialist to help you analyze your options in light of your retirement plans, needs, and particular situation, and see what'd work best for you. There are many pieces on the chess board when it comes to the retirement transition and beyond, and you owe it to yourself to make a fully-informed decision. Feel free to reach out if I can be of any help. SecondHalfPlanning.com
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