Issue link: https://viewer.e-digitaledition.com/i/699348
Health Initiative Award Winner 2015 Innovation Award Winner 2015 Health Innovation in Patient Care Award Winner 2015 Award Winner 2015 The adjustment factors associated with delay- ing Social Security were originally calculated in 1983, when inflation rates were much higher and life expectancies were much shorter than they are today. As a result, living to life expectancy or beyond has a big impact on the value of making the choice to delay Social Security. The longer you live, the better the decision to delay taking benefits. However, there is still a trade-o•. You give up current benefits at a younger age for a larger, inflation-adjusted benefit for the rest of your life. Over time, the impact of the annual inflation adjustment on the extra benefit amount may be significant. During periods of pro- longed or increasing inflation, the decision to delay Social Security is even more beneficial. As noted above, higher inflation may have a negative impact on your portfolio. During a market downturn, the inflation-adjusted benefit feature of Socia l Security takes some pres- sure o• your investments, essentia lly acting as a hedge against poor market conditions. The circum- stances that work best for delaying Social Security are the same ones that are the worst for portfolios. Investors should always consult with a qualified financial advisor to discuss the timing of retirement and thus the start of Socia l Security benefits, as well as the specific role these benefits will have in helping you achieve your financia l objectives. Bill Strand , Founder and Principal , has more than 30 years of experience in the financial services industry and founded Paradigm: Strategies in Wealth Management LLC in 1995. His expertise helps physi- cians achieve financial success and devise creative strategies to preserve the wealth they work so hard to build for themselves and their families. He meets many physicians who are extremely busy practicing medicine but have no investment plan for financial independence. Find out more at planparadigm.com or by contacting Strand at bstrand@planparadigm.com or 763-201-1025. ■ 1 1 M D N E W S .C O M /// M D N E W S M I N N E S O TA ■ 2 016