I’m in retirement planning mode and just updated the figures on my spreadsheet. It’s been months since I visited the Social Security website and I’m happy to see that both my and Jay’s benefits have increased. I’m still thinking that I’ll start taking benefits at 62 and Jay will wait until his full retirement age of 67. (* I’ve changed my mind on this. See this post.) We’ll see, though – things could change in the next 7 years. My spreadsheets are based, for the most part, on reality and what I think will happen. What actually happens – when Jay retires, real estate values, stock market, investment choices, life events – will definitely affect my projections and I will constantly be tweaking things. We’ll consult a professional, too, before committing to any decisions. It’s a big decision with a lot of considerations to take into account.
I can only claim early benefits w/o reductions if my earned income is less than $15,720 (for 2015). Right now my earned income from my job is far less than that. The royalties**, interest, capital gains, rental income etc. from our other streams of income are not considered earned income. Yay! But, who knows – maybe I’ll be working more and making more money in a few years. Anything’s possible.
** Unfortunately, the royalties that aren’t considered earned income are things like royalties from oil wells and mining. Royalties from writing are considered earned income if you are still in the business of writing. 🙁