Quoted in the news today – new research is out on Social Security. The take away is that it “pays” to create a smart strategy…sound familiar.

The twist is that the authors use different terminology and relate Social Security to an “annuity.” Yes, it is like an annuity…but, a cheap one. The point of the article is that with low interest rates it is the cheapest annuity you can buy.

The implication is 1) you should maximize your benefits and 2) figure out how to withdrawal your other savings to maximize benefits which will result in your money lasting longer.

Overall, this is consistent with my research published in the Journal of Financial Planning 2 months ago. We showed we could make someone’s money last 2 to 10 years longer by optimizing Social Security.

People, this is a “no brainer” decision. However, the implementation is hard. Make sure you don’t cut a corner to figure out your strategy since you will likely have a lot more money.