SS Calcs ??
ESP 2.12.1 is giving me incorrect SS benefits.
My wife recently completed a SS reset, with a restart as of April 2008. Her new benefit is $1,019 per month, which is what I told ESP.
The program calculated her 2008 benefit as $10,680, which is $1,019 times about 10.5 months. It then added the 5.8% COLA increase to derive a 2009 benefit of $11,304. If ESP works on an annual basis, the 2008 number should be $12,228. The 2009 number should be $12,937, which is what she will actually receive.
I have inflation set to zero.
Lynn Grubb
RSS
In an attempt to work around the SS problem described above, I told ESP that my wife started collecting SS in 2007. ESP correctly calculated her SS for 2008 as $12,228. But there is no spousal benefit in 2008, presumably because I told ESP I was going to start collecting SS in 2009. But she is already eligible because I am of retirement age.
For 2009 (and 2010) it came up with $12,581, which is too low, it should be $12,937. The amount is made up of her own benefit of $10,529 and a spousal benefit of $2,051.
The spousal benefit continued for 2009 and 2010, then disappeared. Her own benefit reverted to the 2008 number of $12,228 and stayed there for subsequent years. The number is too low, it should be $12,937. The disappearance of the spousal benefit appears to relate to increasing inflation from zero to 4% in 2010.
It appears the whole area of projecting SS benefits versus inflation needs to be reviewed. Since ESP is being promoted as showing the benefits of delaying SS benefits or doing a reset, it is important to get the numbers right. I would be happy to submit my profile to help with that effort.
Lynn Grubb
In a further attempt to work around the problem with my wife's future SS payments, I "lied" to ESP and set her 2008 benefits at $12,936, which will be the correct amount for 2009. The problems noted above disappeared, and her SS benefits stayed at that number going forward, which I would expect to be correct.
I had previously reported that our Consumption number went down significantly with this change, the opposite of what I expected. But apparently I was mistaken. I reran the original case and reproduced the problems noted above, but the Consumption changed in the direction I expected. So that is a non-issue.
So I now have two profiles, with the two sets of answers, that can be compared by anyone interested.
Lynn
Lynn, I don't see a bug here. I just set up a case with zero inflation for a couple age 65 and specified a $1,000 month current benefit. The program shows an annual benefit of $12,000. Please call me to discuss your inputs. You'll hear from us faster and we'll get things fixed faster that way We don't check the forum as often as we check our email. best, Larry