My 401K counselor is 70 years old. She says that since age 65 she has taken full benefits and worked full time, WHILE STILL GETTING HER 8% INCREASE. I turn 66 in May and work full time and have been under the impression that if I take my SS benefits I will lose the 8% increase, even though I work full time. Which is true? Thank you for your answer, I appreciate your help.

Hi,

In order to earn the 8% annual increase from delayed retirement credits (DRC) between full retirement age and age 70, you cannot be drawing benefits on your own record. I have no idea what your counselor was referring to, but if she's been drawing her own benefits since full retirement age or earlier, she won't receive any DRC increases.

In some cases, a person may be eligible to receive another type of benefit (e.g. spousal, widow(er)) between full retirement age and age 70, while still accruing DRCs on their own record. In those cases, the person can then switch to drawing on their own record at age 70, at which time their benefit rate would include up to 32% of DRCs.

Best, Jerry