Since that person likely has a large stash of cash, he could take a $5,000 loan from Social Security, then simply invest it. Not only that, but such person would have a greater probability of delaying when they opt-into Social Security until age 70. For high-income men, the amount pulled from Social Security for someone born in 1930 versus someone born in 1960, for example, grew by 29%. The Social Security loan researchers argue that, based on the average Social Security check, it would only take about three months of retirement before the debt is paid off. Those with lower incomes, however, are more likely to use Social Security earlier, since it provides a greater coverage of expenses.

Source: Forbes May 12, 2020 18:33 UTC