Why More State Street Employees Are Considering Social Security Early — And How Medicare Changes Play a Role
Healthcare Provider Update: Healthcare Provider for State Street:
State Street Corporation collaborates with various healthcare providers to offer employee benefits, typically leveraging its extensive network through insurers. The primary healthcare provider for State Street employees is UnitedHealth Group, which offers services to ensure comprehensive health coverage and support.
Potential Healthcare Cost Increases in 2026:
As the healthcare landscape evolves, significant cost increases are anticipated in 2026, particularly for those enrolled in Affordable Care Act (ACA) marketplace plans. With the potential expiration of enhanced premium tax credits, many enrollees could face premium hikes exceeding 75%, leading to out-of-pocket costs becoming dangerously unaffordable for millions. Insurers attribute these steep increases to rising medical costs, aggressive premium requests-including New York's staggering 66% increase from UnitedHealthcare-and ongoing pressures from inflation across the healthcare sector. Overall, the combination of these factors underscores a perfect storm of market conditions that could strain consumer budgets significantly come 2026.
Click here to learn more
'State Street employees weighing when to file for Social Security should consider both current health care costs and long-term income needs, so they can stay adaptable as retirement unfolds.' — Paul Bergeron, a representative of The Retirement Group, a division of Wealth Enhancement.
'State Street employees can benefit from thoughtfully coordinating Social Security timing with health care expenses so their retirement income stays aligned with their evolving needs over time.' — Tyson Mavar, a representative of The Retirement Group, a division of Wealth Enhancement.
In this article, we will discuss:
How Social Security filing age affects retirement income.
How Medicare expenses factor into when retirees claim benefits.
Why emotional concerns are shifting filing behavior for many Americans.
Written by Wealth Enhancement advisors Kevin Landis, CPA and Wesley Boudreaux
Advisors in the retirement-income space have long suggested that retirees consider delaying filing for Social Security benefits. For those with a full retirement age (FRA) of 67, waiting until age 70 can result in monthly payments that are around 24% higher.
1
And for those with an FRA of 66, the increase if one waits until age 70 is closer to 32%.
1
State Street employees nearing retirement often hear this same message.
However, new national data indicates a growing number of Americans plan to claim Social Security before age 70. Cost pressures and health care related issues are major influences in this trend.
The Retirees’ Reality
Today’s retirees face a very different environment than those in past decades, including less access to traditional pensions, rising health care costs, and mounting everyday living expenses. In the private sector, only about 15% of workers still have access to defined benefit pensions,
2
affecting many households and State Street employees.
According to retirement consultant Wesley Boudreaux, 'most retirees are not choosing to claim early for the sake of it.” Instead, rising medical and living costs are driving earlier benefit decisions because of cash flow pressures.
One major factor? Health care. Nearly 39% of out-of-pocket health care spending by Medicare beneficiaries was equivalent to Social Security payments received, on average, in 2022.
3
Medicare Advantage: A Key Planning Factor
Additionally, shifts in Medicare Advantage plans have left many retirees unsure about upcoming costs. Benefit structures can vary significantly by year or by region, causing cost surprises that State Street workers and their families may need to plan for.
“We are already seeing clients paying more for health care than expected,” said Kevin Landis, CPA. “When medical expenses rise, Social Security often becomes the first lever people pull to handle that burden.”
This is why coordinating Social Security filing decisions with Medicare coverage choices remains important, particularly when plans change annually.
“This is the intersection of Social Security and health care planning,” Landis adds. “Changes in one can influence the other.”
Emotional Considerations Also Matter
Money matters aren’t the only reason retirees claim earlier. Concerns about the future of Social Security have caused many to look for the emotional comfort of taking benefits sooner, including some State Street workers preparing for retirement.
While benefits are expected to continue—even if trust fund reserves decline in the 2030s—worries about future payouts can play a role.
“It’s not just about math,” Boudreaux explains. “People want control and stability in retirement, even if that means receiving less over time.”
Finding the Right Approach for You
Whether filing early is a good fit depends a lot on health, cash flow needs, and longer-term retirement goals. Thoughtful planning helps maintain flexibility, rather than driving you to respond under pressure.
“The best approach balances today’s needs with what lies ahead,” Landis says. “And that begins with understanding how Medicare and Social Security interact.”
Need Help Reviewing Your Options?
The Retirement Group, a division of Wealth Enhancement, helps individuals evaluate Medicare electives, analyze Social Security filing alternatives, and design retirement income strategies based on personal goals—including guidance tailored to those employed by State Street.
📞 Call (800) 900-5867 before your next enrollment period to schedule a Social Security & Health Care Review.
Work toward confidence in your long-term retirement income decisions.
About the Authors
Wesley Boudreaux and Kevin Landis, CPA, provide retirement income and tax planning guidance through Wealth Enhancement, helping people make informed choices about Social Security, Medicare, and financial well-being.
1. Social Security Administration.
When to Start Receiving Retirement Benefits: Publication No. 05-10147
. May 2024. U.S. Government Publishing Office, Washington D.C.
2. Topoleski, John J., Elizabeth A. Myers, and Sylvia L. Bryan.
Worker Participation in Employer-Sponsored Pensions: Data in Brief and Recent Trends (R43439)
. Congressional Research Service, 18 Sept. 2024.
3. Medicare Payment Advisory Commission.
Report to the Congress: Medicare Payment Policy – Chapter 11: The Medicare Advantage Program: Status Report
. Mar. 2025, medpac.gov/wp-content/uploads/2025/03/Mar25_Ch11_MedPAC_Report_To_Congress_SEC.pdf.
4. Board of Trustees, Social Security.
2025 Annual Report of the Board of Trustees of the Federal Old-Age and Survivors Insurance and Federal Disability Insurance Trust Funds
. 30 June 2025. U.S. Government Publishing Office, Washington D.C.
What is the 401(k) plan offered by State Street?
The 401(k) plan at State Street is a retirement savings plan that allows employees to save a portion of their salary before taxes are deducted.
How can I enroll in State Street's 401(k) plan?
Employees can enroll in State Street's 401(k) plan by accessing the enrollment portal through the company’s HR website or by contacting the HR department for assistance.
What is the company match for State Street's 401(k) plan?
State Street offers a company match for contributions made to the 401(k) plan, typically matching a percentage of employee contributions up to a certain limit.
Are there any eligibility requirements for State Street's 401(k) plan?
Yes, employees must meet specific eligibility criteria, such as length of service and employment status, to participate in State Street's 401(k) plan.
What investment options are available in State Street's 401(k) plan?
State Street's 401(k) plan offers a range of investment options, including mutual funds, target-date funds, and other investment vehicles tailored to different risk tolerances.
Can I change my contribution rate to State Street's 401(k) plan?
Yes, employees can change their contribution rates to State Street's 401(k) plan at any time, subject to the plan's guidelines.
How often can I change my investment choices in State Street's 401(k) plan?
Employees can typically change their investment choices in State Street's 401(k) plan on a regular basis, often quarterly or as specified in the plan documents.
What happens to my 401(k) plan if I leave State Street?
If you leave State Street, you can choose to roll over your 401(k) balance to another retirement account, leave it in the State Street plan, or cash it out, subject to tax implications.
Does State Street offer financial education regarding the 401(k) plan?
Yes, State Street provides resources and educational sessions to help employees understand their 401(k) plan options and make informed investment decisions.
What is the vesting schedule for State Street's 401(k) plan?
The vesting schedule for State Street's 401(k) plan determines how long you must work at the company to fully own the employer contributions, which may vary based on tenure.
/General/General%203.png?width=1280&height=853&name=General%203.png)
-2.png?width=300&height=200&name=office-builing-main-lobby%20(52)-2.png)
.webp?width=300&height=200&name=office-builing-main-lobby%20(27).webp)
-2.png)
.webp)