If you receive Social Security spousal benefits, that money is probably important to you. And like all financial matters, the more you know, the better you can plan for whatever happens. Here are six ways it's possible to lose your spousal benefits.
1. You remarry
Surviving spouse
Your age can make all the difference. If you remarry after reaching 60 (or 50 if you're disabled), remarriage may have no impact on your benefits. However, if you remarry before reaching age 60 (or 50 if you're disabled), you will lose your survivor benefits.
Divorced spouse
If you're divorced and receiving spousal benefits based on your ex's work record, remarrying generally means you'll lose those benefits. However, if the new marriage ends -- through divorce, annulment, or death -- you may be able to reapply for spousal benefits on your former spouse's record.
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2. You weren't married long enough
If you're newly married, you may want to keep this fact in mind as you plan for retirement (just in case). To qualify for Social Security spousal benefits, your marriage must have lasted at least 10 years. Even if you've been married for nine years and 11 months when you divorce, you'll never be eligible to collect benefits based on your former spouse's work record.
3. Your benefits grow
Let's say you collect spousal benefits but continue to work or perhaps start your own business. If your own Social Security benefit becomes larger than that of your spouse, the Social Security Administration (SSA) will automatically pay you the higher amount. While this isn't actually a "loss," it's important to know that you'll lose the spousal benefit you've been receiving.
4. You're incarcerated
If you're convicted of a criminal offense and imprisoned for more than 30 consecutive days, your spousal benefits will be suspended until you're released.
5. You're a non-citizen
If you're a non-citizen who receives spousal benefits and leave the U.S. for more than six consecutive months, your benefits could be suspended. Whether it happens depends largely on your country of residence, as some countries have special Social Security agreements with the U.S.
6. Your spouse dies
While you won't entirely lose benefits upon the death of your spouse, you're likely to transition to more generous survivor benefits. Whereas you may be collecting up to 50% of your spouse's benefit at full retirement age (FRA), survivor benefits can be up to 100% of what your spouse was receiving or was entitled to receive.
You never know what tomorrow will bring. The best you can do is protect your interests by knowing what's available to you and what you need to do to claim what's yours.
