Future Value of Monthly Desposits over n Number of Years


The question of when to take Social Security still bothers me, despite hearing the arguments and seeing the impact in ESPlanner. I'm curious to see what ESPlanner would say if I took Social Security now and invested the monthly payments, versus waiting and potentially getting less, or nothing. I can easily do Future Value with an online calculator, but I'm not seeing a way to include this aspect with ESPlanner. Seems like a pretty simple thing, but I must be missing it?



dan royer's picture

Yes, I think you are missing that this would not be an apples/apples comparison because one involves risk and the other does not. You can compare but you'd be comparing two scenarios without accounting for the very important element of risk. Longevity is also a factor in the comparison.

dan royer's picture

There is also more to the evaluation of SS strategy than simply future value. There's also the issue of how this strategy and consequent cash flow fits into the planning model that you build. If the deferral of SS creates liquidity constraint, you have to deal with that, and the higher income from SS could create a higher Medicare B premium too. Those are just a few of the factors.

We use cookies to deliver the best user experience and improve our site.