Spousal Social Security benefits sound pretty straightforward: You marry a qualifying worker, sign up for benefits, and receive monthly checks. This is all true, but it leaves out a few important details that retired couples and those nearing retirement need to know.
Here are three key rules to keep in mind when planning your retirement budget and applying for spousal Social Security benefits.
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1. There's a length of marriage requirement
You must be married to your spouse for at least one year before you're eligible for spousal Social Security benefits on their work record. There's an exception to this rule if you qualified for Social Security benefits in the month before the month you got married, or if you're the parent of your spouse's child. Current spouses cannot apply for spousal benefits until their partner is claiming Social Security retirement checks.
Ex-spouses can also qualify for spousal benefits, but they have slightly different requirements. Their marriage to the qualifying worker must have lasted for at least 10 years, unless they are caring for the worker's child who is under 16 or disabled. If there's no qualifying child and the worker isn't claiming Social Security themselves yet, the ex-spouse must wait until they've been divorced for at least two years before applying. Remarriage will render you ineligible to claim on your ex's work record.
2. The most you'll get is half your partner's benefit at their full retirement age (FRA)
The Social Security Administration bases your spousal benefit on the benefit your partner is eligible for at their full retirement age (FRA). This is 66 to 67, depending on their birth year. They may choose to apply earlier than this, but their decision won't affect the size of your benefit.
When you apply does affect your checks, though. If you wait until your FRA, you'll qualify for your maximum spousal benefit -- one-half of your partner's benefit at their FRA. So if your partner qualifies for $2,000 per month at their FRA, the most you'll get is $1,000 per month.
But you may get less if you apply early. The government reduces your benefit by 25/36 of 1% per month for up to 36 months of early claiming. Those who sign up more than three years early have another 5/12 of 1% withheld from their checks. That means those who apply immediately at 62 could lose as much as 35% from their monthly checks. In our previous example, that would drop your spousal benefit from $1,000 to $650 per month.
3. You might get your own retirement benefit, even if you qualify for a spousal benefit
You only get a spousal Social Security benefit if this amount is less than what you qualify for in your own right. If you didn't work enough to earn a Social Security retirement benefit in the first place, then you'll obviously get a spousal benefit. But it's more complicated for those who are dually eligible for benefits.
You can estimate what your retirement benefit and your spousal benefit could be worth by creating a my Social Security account and using the calculator tools here. For your retirement benefit, you shouldn't have to do anything to figure this out unless you want to change its estimates of your future earnings. To calculate your spousal benefit, you'll need to know how much your spouse qualifies for at their FRA. Once you input this, you'll be able to see your estimated spousal benefit at every age.
If your retirement benefit is higher, you'll get this amount in retirement. If your spousal benefit is higher, you'll get your retirement benefit plus a portion of your spousal benefit. For example, if your retirement benefit was $750 per month and your spousal benefit was $1,000 per month, you'd get your $750 retirement benefit, plus $250 of your spousal benefit for a total monthly check of $1,000.
One last thing to keep in mind if you expect to claim a spousal benefit: Unlike retirement benefits, spousal benefits don't offer you delayed retirement credits for waiting beyond your FRA to apply. So make sure you apply for these benefits no later than your FRA to avoid costing yourself.
If you have any questions about your personal situation, it's best to contact the Social Security Administration directly. They can assist you in figuring out which type of benefit you'll receive and what documents you need to apply.
