401(k) Drawdown vs. Social Security Delay

This is a news story, published by Yahoo Finance, that relates primarily to Social Security news.

personal finance & financial education news

For more personal finance & financial education news, you can click here:

more personal finance & financial education news

Yahoo Finance news

For more news from Yahoo Finance, you can click here:

more news from Yahoo Finance

About the Otherweb

Otherweb, Inc is a public benefit corporation, dedicated to improving the quality of news people consume. We are non-partisan, junk-free, and ad-free. We use artificial intelligence (AI) to remove junk from your news feed, and allow you to select the best business news, entertainment news, world news, and much more. If you like personal finance & financial education news, you might also like this article about

smaller retirement savings

. We are dedicated to bringing you the highest-quality news, junk-free and ad-free, about your favorite topics. Please come every day to read the latest retirement income news, Social Security boost news, personal finance & financial education news, and other high-quality news about any topic that interests you. We are working hard to create the best news aggregator on the web, and to put you in control of your news feed - whether you choose to read the latest news through our website, our news app, or our daily newsletter - all free!

term retirement plan

Moneywise

•

Business

Business & Economics

Is opting to draw down my 401(k) first to boost my Social Security checks a shrewd move or boneheaded choice?

Summary

Nutrition label

66% Informative

Social Security can be roughly 30% higher if you wait until retirement instead of collecting at the earliest possible age of 62 .

For many retirees in good health with a long life expectancy, it’s often wiser to draw down their 401(k) first and delay Social Security to maximize guaranteed, inflation-adjusted income.

Other factors to consider are your health and longevity.

Like what you read? Join 200,000 + readers and get the best of Moneywise straight to your inbox every week . Subscribe for free. This article provides information only and should not be construed as advice. It is provided without warranty of any kind..

VR Score

Informative language

Neutral language

Article tone

informal

Language

English

Language complexity

Offensive language

not offensive

Hate speech

not hateful