In December, the SSA said retirees essentially can no longer do what are called do-overs, or the free-loan strategy. Here's how it worked: You claim benefits at a given age and then years later repay what you received, pay no interest, and then file for benefits again, getting a higher monthly amount because you delayed filing until a later age.
"This strategy is equivalent to a 'no interest' loan from Social Security," said Boston College's Center for Retirement Research.
Not many folks used this strategy, but the Center estimated the do-over tactic could cost Social Security an estimated $6 billion to $11 billion per year. Under the new rules, you can suspend and re-apply for your benefit only within the first 12 months of applying for Social Security, and you can only do it once in your lifetime. (more)
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