Ask Rusty: Your Social Security Advisor

Dear Rusty: I started collecting SS when I turned 70 to maximize my income. One factor that is never mentioned is that the annual cost of living increase appears to be based on the previous year’s payment. I’ve talked to others who are about my age (77) and we talked about how much of an adder we will receive. Those who collected earlier always get much less than I do. So, it appears that the annual increase is based on previous year’s payment and not on the original payment from when I started collecting, so it has a compounding impact. Frequently the increase received by those who collected early covers the Medicare increase plus a small adder, whereas I have been getting a much larger increase. Can you comment? Signed: Wondering

What is Ask Rusty: Your Social Security Advisor?

Russ “Rusty” Gloor is a member of the AMAC Foundation’s accredited Social Security Advisory staff. With each episode of “Ask Rusty” he will tell you about an actual Social Security question received at the AMAC Foundation offices.

These recordings are intended for information purposes only and do not represent legal or financial guidance. They present the opinions and interpretations of the AMAC Foundation’s staff, trained and accredited by the National Social Security Association (NSSA). NSSA and the AMAC Foundation, and its staff are not affiliated with or endorsed by the Social Security Administration or any other governmental entity. To submit a question, visit our website (amacfoundation.org/programs/social-security-advisory) or email us at ssadvisor@amacfoundation.org.>