“It’s a screamingly good deal,” says Christopher Jones, Financial Engines’ chief investment officer, of Social Security. “There’s a 6 to 8 percent increase in payout for every year you defer up to age 70 -- that’s a real rate of return guaranteed by the federal government. Very few investments out there can match it.”

Yet 40 percent of Americans file at age 62, and another 40 percent file sometime before their full retirement age, according to Social Security Administration data. Filing early isn't always the wrong move; it can make sense if you're in poor health and don't expect to live long, or if you simply need the money. But studies have shown that early claiming is most often tied to incorrect expectations about longevity and misunderstandings about the risk that Social Security will run out of money and not be able to pay benefits.

The public already has access to some solid Social Security claiming decision tools. AARP, T. Rowe Price and the Social Security Administration offer free tools, and SocialSecuritySolutions.com can help you out for a small fee. But the workplace is where the rubber most often hits the road when it comes to retirement planning.

GuidedChoice, which competes with Financial Engines in the 401(k) advisory market, already has a Social Security optimization feature coupled with one-on-one advice. Morningstar, another player in the field, doesn't offer Social Security optimization yet but plans to add it, a spokeswoman says.

Financial Engines' offering begins with a projection of likely nest egg size at retirement, followed by an illustration of how savings can be converted to income --oriented investments that generate income to meet living expenses while waiting for Social Security to begin -- and how the strategy results in higher lifetime income.

The illustration aims to help people get over a key psychological hurdle, Jones says. "Retirees are reluctant to spend all of their savings, or even a large fraction up front," he says. "They see their accumulated balances as a safety net, so they're reluctant to spend that down too quickly."

So, how much is it worth to optimize your benefits? Financial Engines has been testing its new service over the past three months with a few large corporate clients; the median amount of additional benefits found for a typical married couple over the course of their retirement has been well over $100,000.

Financial Advisor magazine contributed to this article.

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