Just wanted to chime in as someone who works in retirement planning - you're getting some excellent advice here! The key points about waiting until January 2026 for the higher lifetime benefit and cleaner tax situation are spot on. One additional factor to consider: if you have any employer-sponsored health insurance through April 2025, make sure you understand how that transitions to Medicare. You'll want to enroll in Medicare Part A and B during your Initial Enrollment Period (which starts 3 months before you turn 65), but the timing of when you actually need coverage can depend on your specific situation. Also, since you mentioned having a financial advisor, definitely run the exact numbers by them. They can help you model out the break-even point between starting in May 2025 vs January 2026 based on your specific benefit amounts and life expectancy estimates. Sometimes seeing the actual dollars over time makes the decision clearer. Sounds like you're being very thoughtful about this decision - that's the most important thing!

One thing I haven't seen mentioned yet is the timing of your first payment if you start in May 2025 versus January 2026. Social Security pays benefits the month after they're due, so if you start benefits in May 2025, your first payment would arrive in June. But there can sometimes be a delay with the very first payment while they finalize everything in their system. I started my benefits in March last year and didn't receive my first payment until late April, even though it should have come in early April. It wasn't a big deal since I was expecting it, but just something to factor into your cash flow planning. Also, since you're retiring in April 2025 regardless of when you start SS, make sure you have a solid plan for covering your expenses during that gap period. Whether it's 1 month (April to May) or 9 months (April to January), you'll want to make sure your savings can bridge that time comfortably. The January start date really does seem to make the most sense both financially and administratively based on everything discussed here!

Thank you all for the helpful information! I made an appointment with my local SS office for next week to discuss my specific situation. Will make sure to ask about the monthly earnings test and get clear confirmation about my January/February earnings not affecting my benefits starting in April. Really appreciate everyone's input!

Great advice from everyone here! Just wanted to add one more tip - when you do meet with SSA next week, bring documentation showing your last day of work (like a letter from HR or your final paystub). This can help speed up the process and avoid any confusion later. Also, if you're planning to do any freelance or consulting work in the future, make sure to ask about how that would affect your benefits so you're prepared. Good luck with your retirement!

Another thing to keep in mind - when you apply online, you'll need to have some documents ready like your birth certificate, W-2 forms or self-employment tax returns for the previous year, and your bank account information for direct deposit setup. Having these ready beforehand will make the application process much smoother. Also, if you're married, you might want to coordinate timing with your spouse's Social Security strategy since spousal benefits can be affected. The online application takes about 15-20 minutes if you have everything prepared!

One more thing to consider - if you have any earnings from work in 2024 after you turn 70, make sure to report those accurately on your application. Unlike the earnings test that applies before full retirement age, there's no earnings limit once you reach 70, but SSA still needs this information for tax purposes and to ensure your benefit calculation includes any additional credits from continued work. Also, if you're planning to have taxes withheld from your Social Security benefits, you can set that up during the application process using Form W-4V, which can save you from having to make quarterly estimated tax payments later.

You've got a great summary there! One additional tip from someone who went through this transition recently - consider doing a "practice run" with your tax situation before you officially retire. You can estimate your combined income (annuity + half your projected SS benefit + any other income) and see where you'll fall tax-wise. Also, don't forget that if you have a traditional 401(k) or IRA, those withdrawals will also count toward your combined income for SS taxation purposes. It all adds up quickly! Having that tax withholding set up from the start like others mentioned is definitely the way to go. Good luck with your retirement planning - sounds like you're being smart about researching everything ahead of time!

This is exactly the kind of thorough research I wish I had done before I retired! As someone who's been dealing with both SS and annuity payments for the past few years, I can confirm everything you've learned is spot on. The taxation piece really is the biggest surprise for most people. One thing I'd add - if you're comfortable sharing your approximate combined income with your tax professional, ask them to calculate not just whether your SS will be taxable, but what your effective tax rate will be in retirement vs. what you're paying now while working. Sometimes people assume their tax burden will automatically be lower in retirement, but between the annuity, SS benefits becoming taxable, and potential 401(k) withdrawals, you might end up in a similar or even higher tax bracket than you expect. Also, keep in mind that those income thresholds for SS taxation ($25k individual, $32k married filing jointly) haven't been adjusted for inflation since the 1980s, so they catch a lot more retirees now than they were originally intended to. It's just something to be aware of when planning! Sounds like you're going to be in great shape with all this advance planning though. Congrats on your upcoming retirement!

don't forget you need your marriage certificate and divorce decree when you apply! learned that the hard way

I just went through this process myself last year! A few practical tips that might help: 1. **Call SSA early in the morning** (right at 8 AM) or late in the afternoon for shorter wait times. Tuesday-Thursday seem to be less busy. 2. **Have all your documents ready** before calling: marriage certificate, divorce decree, your Social Security card, and your ex's full name and DOB if you have it. 3. **Use the exact phrase "restricted application for divorced spouse benefits only"** when talking to the representative. Don't just say you want ex-spouse benefits - be specific that you want to delay your own retirement benefits. 4. **Get confirmation in writing** - ask them to mail you a summary of what you applied for to avoid any mix-ups. The whole process took about 45 minutes once I got through to someone, and my first payment came about 6 weeks later. Even if you're not 100% sure about your ex's benefit amount, it's worth applying now since you can always withdraw the application within 12 months if you change your mind. Good luck!