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Our recent economic upturn has caused the FED to gradually tighten monetary policy. Mortgage rates rose back up to the (once-desirable) 5% range. Then, a strange thing happened. When the calendar turned over to 2019 rates began to fall, even in the absence of any easing FED policy. Suddenly, we again find ourselves in an era of (nearly-forgotten) low mortgage rates.

Selecting a financial adviser who will ultimately become a good fit for you and your family does not have to be difficult and time-consuming. You should not be afraid to consult an adviser, but you’d better know how to arm yourself with facts.

Today, there are some factions making their case for another reduction in the Federal voting age. Politics seem to be driving the voting age reduction push. On balance, younger people tend to be more liberal, and many have fallen for the sales pitch of today’s “Democratic Socialists.”

Some degree of political discourse will be required to sustain the system as we know it. That leaves the American public in a quandary, wondering if they will receive promised benefits, either in whole or in part. What role will Social Security play in retirement planning?

Starting before birth, we are cared for by others. At some point we begin to contribute to our own maintenance. Over time, lost or diminished physical abilities directly affect our ability to sustain life as we know it.

The primary funding problem with Social Security began when Congress decided to spend the money that was supposed to be held in a Social Security Trust Fund for a later time. As Congress spent the Trust Fund, they replaced the actual money with “IOUs”.

Waiting to collect Social Security benefits past Early Retirement Age (62) is financially rewarding, as the System increases your monthly benefit for every month you delay filing. The annualized increase is about 8%, which constitutes an excellent guaranteed annual benefit increase. The (now defunct) unlimited “do-over” provision took advantage of this by increasing the benefit as if no benefits had been collected.

For generations, FRA was 65, and for “good” reason; most people didn’t live long. As strange as that may sound, the Social Security System was not designed to be a retirement income system. Rather, it was a “safety net” for those who defied the odds and lived well past average life expectancy. Since Social Security is an insurance-based system, and not a classic welfare system, it has been accepted as an integral part of the fabric of American society.

As strange as it sounds, your “Full Benefit” is not the maximum Social Security benefit you may receive. It is simply the amount you would receive monthly should you start claiming benefits upon attaining your Full Retirement Age.