Retiring at 63 can create an income gap if you delay Social Security. One option is to use 401(k) withdrawals as a temporary bridge, which could allow you to claim a higher monthly benefit later. To determine whether this strategy might work for your retirement, you will need to figure out if the increase is worth drawing down savings sooner. Here’s how this plan can work in practice.
Using Your 401(k) to Delay Social Security
For someone born in 1960 or later, full retirement age is 67. According to the Social Security Administration, claiming retirement benefits at 63 provides 75% of the full retirement benefit, compared with 100% at 67. 1
The…
Read the full article at SMARTASSET.COM
