Investment income won’t affect Social Security check
Q: Will my IRA withdrawal reduce my Social Security check? – Name not given
A: Social Security does not count pension payments, annuities, or the interest or dividends from your savings and investments as earnings. They do not lower your Social Security retirement benefits. This also includes Required Minimum Withdrawals from IRA accounts. – Nancy Hecht
Q: My husband and I are trying to plan for retirement but aren’t sure how to go about it. My sister-in-law suggested we just assume we’ll live on 4% of our money. Is this a good approach? – J.P., Altamonte Springs
A: As with most “rules of thumb,” they only go so far. Unfortunately, there’s more complexity than this approach would imply, such as triggering unexpected taxes. A certified financial planner is trained and able to run your retirement numbers taking all variables into consideration. – John Pinkley
Have a question? E-mail askanexpert@fpafla.com. Include your name (only your initials will be printed), hometown and phone. Questions are answered by Certified Financial Planners from the Financial Planning Association of Central Florida. Answers are for educational purposes only; you should also consult a financial professional. Questions and answers may be edited for space considerations.
