When is the best time take SSI?…When you need it most
For many of us taking our Social Security benefits at 62 sometimes is an economic necessity rather than an option. But the longer you wait the more SSI you’re entitled to. If you wait until you reach age 70, your monthly Social Security Benefit can be as much as 57% higher than taking it at 62?
When John received a postcard in the email inviting him to an educational workshop he knew he would have to sit through a sales presentation.
When the evening was done,however, he learned he may have found an answer to one of the retirement questions that kept him awake at night.
Related: 25 ways to use your home equity
How did The New Reverse Mortgage help John?
Like many Americans, the recent Recession had left John “underemployed”. He had a job but it paid significantly less than than one he lost when his company right sized as a result of the housing bubble.
Just getting by wasn’t enough for John so he began looking for ways to increase his income and/or reduce expenses.
Waiting to draw SSI the smart move?
John’s first instinct was to start drawing his Social Security benefit, but after attending the sales presentation he realized he would be leaving quite a bit of money on the table if he did that now. His pension would start in two years at age 65, which would help… but if he could just wait until 70 for his SSI.
Reverse Mortgage to the Rescue
John was looking for a way to “bridge the gap” until his pension and then SSI kicked in. A Reverse Mortgage provided him the solution he was looking for in ways he hadn’t expected.
By paying off his mortgage relieved John of a $1750/mo debt. “Just like getting a $1750 raise in pay, which is more than what my SSI at 62 would have been” John told us.
(Of course John would still be responsible for keeping his property taxes and homeowner’s insurance current)
John’s SSI Bonus…a retirement paycheck
In addition to making him mortgage payment free, we were able to structure his Reverse Mortgage so he would receive monthly tax free income for the years until he reached 70 and could draw his maximum Social Security benefit.
John is sleeping better lately with dreams of a secure retirement dancing in his head.
The New Reverse Mortgage isn’t for everyone…but it could be!
If you’re still wondering if a Reverse Mortgage is the right solution for you but you’re not ready to sit down with one of our Reverse Mortgage Experts, then we’ll be happy to mail (or email) you Use Your Home to Stay at Home which is the official federally approved consumer booklet for those considering a reverse mortgage.
From the desk of Greg Cook