Will My Railroad Retirement Increase After I Retire?

Welcome, everyone, to another edition of the Highball Advisors Railroad Retirement Mailbag. I'm John McNamara of Highball Advisors, and today's question comes from Cambodia via video: "Do reduced benefits increase as I get older than 62 if my railroad retirement started at 62?"

Alright, so the question is whether benefits readjust every year as you get closer to the full retirement age after starting railroad retirement at 62. It's important to note that age reductions are permanent. When you retire before full retirement age, especially with fewer than 30 years of service, your benefits are permanently reduced. Therefore, it's crucial to understand the impact of retiring early and ensure that the reduced amount will meet your lifestyle needs. The only adjustments to your benefits will be for inflation.

For more detailed information on age reductions and the proper timing for Railroad Retirement, check out my video, "Are You Prepared for Age Reductions in Railroad Retirement?" I hope you found this helpful. Please send me your questions, and I'll make a video on them. Until next time, stay safe, stay on track, and take care. So long, everybody!

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Disclaimer: This article is provided for general information and illustration purposes only. Nothing contained in the material constitutes tax advice, a recommendation for purchase or sale of any security, or investment advisory services. Highball Advisors encourages you to consult a financial planner, accountant, and/or legal counsel for advice specific to your situation. Reproduction of this material is prohibited without written permission from Highball Advisors, and all rights are reserved from Highball Advisors, and all rights are reserved.