I've been fortunate to have a career I love, but I have chosen jobs that don't always pay well. My husband's jobs have been more lucrative (although I still wouldn't trade mine for his). Due to the way the Social Security benefits formula works, his benefits will be considerably higher than mine when the day comes that we begin collecting. And because his checks will be higher, I may claim spousal Social Security benefits.
Since I hope never to stop working, I could be better off by maximizing and claiming my own. Still, as someone who bases our retirement budget on a worst-case scenario, I'm not counting on it. I assume I'll claim spousal benefits, but if mine are higher and I end up claiming them, I'll consider it icing on the cake.
No matter your situation, it's good to know who qualifies for spousal benefits, who doesn't, and how to decide whether to file for them.
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Who's eligible for spousal Social Security benefits?
According to Social Security Administration (SSA) rules, here's how to know if you're eligible:
- Marriage: If you've been married to someone for at least one year, you're eligible to go for it. It doesn't matter if your spouse is eligible for retirement or disability.
- Age: You need to be at least 62 to claim spousal benefits, although benefits are permanently reduced if you file before FRA. There are two exceptions to this rule: You can file for spousal benefits at any age if you have a child younger than 16 in your care or a child who has a disability and is entitled to benefits based on your spouse's record.
- Your spouse: The person you're married to must be receiving Social Security benefits for you to begin receiving spousal benefits. You can't get a jump start on them.
- Not eligible for higher benefits: If you're eligible for Social Security benefits on your own, you'll receive the higher of your own or the spousal benefit. However, you can't receive both.
Divorced spouses
- If you were married to someone for at least 10 years, have been divorced for two or more years, and are currently unmarried, you can claim spousal benefits based on your ex-spouse's work record. Your claim will not reduce the amount your ex receives.
- You must be 62 or older, and your ex-spouse must also be at least 62.
- Unlike a married spouse, your ex does not have to be collecting Social Security.
Widows, widowers, and survivor benefits:
- Widow or widower: You can collect 100% of your late spouse's Social Security benefit if you've reached FRA. However, the amount will be permanently decreased if you claim before reaching FRA. FRA for survivor benefits differs from spousal benefits. If you were born in 1958, full retirement age is 66 and 4 months. If you were born in 1959, it's 66 and 6 months, with the age gradually increasing to 67 over the next few years.
- Age: You must be at least 60 unless you have a disability that occurred within seven years of the time your spouse died. In that case, you must be at least 50. You can apply at any age if you care for children from the marriage who are under 16 or have a disability.
- Length of marriage: You must have been married to the deceased for at least nine months at the time of death. However, if their death was accidental or they died in the line of U.S. military duty, there's no length-of-marriage requirement.
Remarriage and survivor benefits
- New marriage: Another important point to consider as you plan for retirement is what happens if you remarry. If you remarry before turning 60 (or 50 if you have a disability), you are ineligible to draw survivor benefits. If the new marriage ends, you regain eligibility.
- Remarriage at a later age: If you remarry at or after age 60 (or 50 if you have a disability), there's no impact on survivor benefits, and you're free to apply.
Determining your income strategy in retirement involves knowing how much you can expect in Social Security benefits. As your situation changes, your best bet is to keep abreast of new Social Security rules as they're released.
