From Kiplinger · · 1m 30s
Social Security Claiming Age
Mexican pension changes Social Security claiming strategy for U.S. accountant.
In brief
Mexican pension changes Social Security claiming strategy for U.S. accountant. Carlos, a U.S. accountant, delayed Social Security claims to help family after his Mexican pension exceeded his monthly budget by $300. Originally reported by Kiplinger.
Carlos's question
Carlos, an experienced accountant in Los Angeles, asked when to claim Social Security.
“When should I claim Social Security?”
Mexican pension begins
His Mexican pension starts in January 2027 after working legally in the U.S. since 2009.
Initial plan
Carlos planned to work until September 2027 before returning to Mexico.
Five claiming options
Five dates for claiming Social Security: when pension begins, work ends, after moving, at full retirement age, or at 70.
Pension covers budget
His Mexican pension provides $2,500 monthly, exceeding his $2,200 budget by $300.
Tax rules matter
U.S.-Mexico Social Security agreement hasn't entered into force, so Mexican work history doesn't fill gaps.
Retirement earnings test
Claiming before full retirement age while still working could cause Social Security benefits to be withheld.
Windfall Elimination Provision
His Mexican pension won't trigger a reduction under the Windfall Elimination Provision.
Family connection
Carlos missed family after his parents died in their 60s and many friends were in his age bracket.
Time value of money
Carlos valued helping family now over larger Social Security checks later.
Financial analysis needed
A complete analysis compares claiming dates, incorporates remaining earnings, and quantifies differences.
What matters most
The most useful question wasn't printed on his benefit statement: What is the money for?
The big picture
Carlos, a U.S. accountant, delayed Social Security claims to help family after his Mexican pension exceeded his monthly budget by $300.
