Episode Overview

Host Gabe McManus sits down with Social Security specialists Russ and Mike to tackle one of retirement's biggest decisions: when to claim Social Security. In this eye-opening conversation, they reveal why "take it at 62 like Dad did" might cost you hundreds of thousands of dollars, how divorced spouses can claim benefits they never knew existed, and why the water cooler isn't the best place to get retirement advice.

Key Topics Discussed

The 62 Myth

• Why a third of Americans claim at 62 and why many shouldn't
• The 30% permanent reduction for early filers
• The earnings limit test that could mean you get nothing even after filing
• Breaking free from the "my dad did it this way" mentality

The Real Math Behind Claiming Decisions

• Why break-even analysis isn't enough
• The paradigm shift: using the least amount of your own capital to meet retirement income needs
• A real client example: how waiting until 70 created a $700,000 difference in excess wealth
• Having $1.7 million vs. $1 million in liquid wealth just from filing strategy

Hidden Benefits for Divorced Spouses

• The 10-year marriage rule that unlocks ex-spousal benefits
• Claiming on a deceased ex's record: the full benefit, not just spousal
• The woman who discovered $60,000 in benefits she almost missed
• Why Social Security won't send you a letter when your ex passes away

Remarriage Rules That Matter

• Age 60: the magic number for widow/widower benefits
• How remarriage affects living vs. deceased ex-spouse benefits
• Planning your engagement timeline (yes, really)

Retirement Savings Realities

• The 15% rule of thumb for gross income savings
• Why 77% of working households don't think they've saved enough
• The danger of all-or-nothing thinking
• Automating contributions when you're self-employed

Investment Psychology

• Why panic selling destroys retirement plans
• Time in the market vs. timing the market
• Finding your true risk tolerance
• How day traders rarely tell you about their losses

Legacy Planning

• The "put your oxygen mask on first" philosophy
• Why being a little selfish ensures you're not a burden
• The power of giving while you're alive
• Having open money conversations across generations

Memorable Quotes

"The biggest blessing you can give your kids is making sure you're in a good spot, so they don't have to worry about taking care of you."

"If you thought you could have another income source at 62, why wouldn't you do that? And a lot of people feel that way. But jumping in can lead to permanently taking a smaller benefit for the rest of your life."

"People that day trade and tell you they do well don't tell you what they lost."

"This pen isn't good or bad. If I threw it at Mike, the pen isn't bad—it was the manner in which I used it. Financial tools work the same way."

Key Takeaways

1. Don't claim Social Security in a silo. Integrate it with your spending needs, tax planning, and investment strategy.
2. If you've been divorced and married 10+ years, investigate what benefits you might be entitled to from your ex—especially if they've passed away.
3. Automate your retirement savings so you're not making the decision with every paycheck.
4. Find your risk tolerance and stick to a plan you can live with rather than chasing higher returns you can't stomach.
5. Take care of yourself first before planning legacy gifts. You can't help your kid

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Connect: gabe@moreclientsmorefun.com