Social Security: Myths, Realities, and the Impending Shortfall – How to Maximize Benefits and Secure Your Retirement Income

Social Security is a source of guaranteed income for seniors, but it can also be a source of major anxiety, especially for those who struggle to save for retirement. Many people stress about a social security myth that’s been thoroughly debunked. Social Security’s future isn’t as dire as many think, but it’s not in good shape, according to a report by Kailey Hagen of The Motley Fool on February 20, 2023.

The government has had to increasingly rely on its trust funds to help make up for the shortfall, and the trust funds will eventually be depleted. Even in the worst-case scenario, Social Security will still be around in some form, but how much people will receive is up in the air.

The government hasn’t been able to come up with any long-term solutions to handle the impending shortfall. Ideas being tossed around include raising the full retirement age, raising the ceiling on income subject to Social Security taxes, and raising the Social Security tax rate on workers.

The final solution may involve a combination of strategies. Increasing income, delaying Social Security and retirement, and planning for smaller checks are steps people can take to improve their financial situation, based on a report by Investopedia on January 9, 2023.

The key is to take action and not plan for a retirement without Social Security. Social Security offers a $21,756 bonus that most retirees completely overlook, and learning how to maximize benefits can help ensure a boost in retirement income.