No. Path considers the value of delaying Social Security benefits. The projection assumes you claim benefits at age 62 for a life expectancy below 77, increasing to an assumed claim age at 70 for life expectancies above 85. These assumptions are based on the claim age that maximizes the present value of your stream of benefits until the end of life expectancy using a discounting rate of 3%.
If your planned retirement age is before your projected Social Security claim date, Path assumes you start receiving the annuitized value of your Social Security benefits at the year you retire using a 3% discount rate.
If your planned retirement age is after age 70, we assume you start taking Social Security benefits at age 70 and invest the proceeds in a taxable WF account with a 0.5 risk score, which you can then use for your retirement income needs.
For more details on our methodology, please log into your account and review the Path disclosures.