There are many factors that will affect your Social Security benefits, including your age, earnings history, and the length of your career. But your marital status will also have an impact on your payments, potentially boosting your benefits by hundreds of dollars per month.
To maximize your monthly checks, though, it's important to know the ins and outs of spousal Social Security. Before you retire, make sure you and your spouse are familiar with these three simple rules.
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1. Not everyone qualifies for spousal benefits
In most cases, you simply need to be married to someone who qualifies for retirement or disability benefits to be eligible for spousal Social Security. However, your income could also affect your eligibility, as well as the amount you receive.
You can receive spousal benefits regardless of whether you qualify for retirement benefits based on your own work history. However, if you're receiving retirement benefits, it could reduce your spousal Social Security or even disqualify you altogether.
The maximum you can receive in spousal benefits is 50% of the amount your spouse is entitled to at their full retirement age (FRA). If your retirement benefit is higher than that, you won't qualify for spousal benefits at all. If it's lower, you'll only receive the larger of the two amounts -- not both.
2. Claiming early can reduce your payments
To receive the full spousal benefit you're entitled to, you'll need to wait until your own FRA to begin claiming. Your FRA will depend on your birth year, but it's 67 years old for everyone born in 1960 or later.
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You can begin claiming as early as age 62, but it will generally result in smaller payments each month. One exception is if you're caring for a child who is under age 16 or disabled. In this case, you can often start receiving spousal benefits at any age, and claiming early won't reduce your benefit amount.
Also, unlike retirement benefits, delaying claiming past your FRA won't result in larger spousal benefit payments. If your spouse delays benefits, that also won't increase your spousal Social Security. In any case, the maximum payment is 50% of your spouse's FRA benefit amount.
3. You can still qualify for benefits if you get divorced
No married couple plans to get divorced, but it can be helpful to know how divorce will affect your benefits -- just in case. The good news is that if you're already entitled to spousal benefits, you may qualify for divorce benefits, too.
To receive divorce benefits, your marriage must have lasted for at least 10 years. You also cannot currently be married, but if your ex-spouse has remarried, that won't affect your eligibility. Taking divorce benefits also won't impact your ex-spouse's benefit amount, nor will it affect their current partner's spousal benefit if they've remarried.
If you choose to remarry, you won't qualify for divorce benefits any longer. However, you may be able to start taking spousal benefits based on your new partner's work record, assuming you still meet the eligibility requirements.
Social Security can be complex and confusing at times, but it pays to at least understand the basics of which benefits you qualify for. If you're entitled to spousal (or divorce) benefits, taking full advantage of them can help set you up for a more financially secure retirement.
