Home » Can My Wife Take Social Security Spousal Benefits Now While I Delay Till 70?

Can My Wife Take Social Security Spousal Benefits Now While I Delay Till 70?

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At the moment’s column addresses questions on eligibility for spousal advantages, what being born after 1/1/1954 means for spousal profit eligibility and dealing whereas receiving incapacity advantages. Larry Kotlikoff is a Professor of Economics at Boston College and the founder and president of Financial Safety Planning, Inc.

See extra Ask Larry solutions right here.

Have Social Safety questions of your personal you’d like answered? Ask Larry about Social Security here.


Can My Spouse Take Social Safety Spousal Advantages Now Whereas I Delay Until 70?

Hello Larry, After receiving what looks as if completely different responses throughout numerous calls to SSA, I’m writing you within the hope you’ll be able to present some steering. I used to be born in January 1952 and my spouse was born in September 1951. Neither of us has claimed Social Safety retirement advantages. I’m now not working; my spouse nonetheless works, incomes above the exempt quantity. My estimated profit at 70 is about $3,900 and my spouse’s profit at 70 is about $1,600.

My spouse was advised that she might at the moment file to gather 50% of the profit I’d have obtained at 66 with out my having filed. Is that appropriate? Assuming sure, and provided that she has gone on document with the SSA for a protected submitting, is it appropriate that she will declare that profit going again six months? She was advised that when she reaches 70, she might both proceed to obtain her spousal profit or her personal retirement profit, whichever is greater. Is that appropriate?

Can my spouse then change over to taking a brand new spousal profit of fifty% of my month-to-month quantity I’ll get at 70 once I begin accumulating?

Lastly, can I now get spousal advantages for the 4 months earlier than I flip 70 even when on the similar time she’s getting her personal spousal profit? And will I then change to my retirement profit once I flip 70?

Do I’ve any of this proper? Thanks, Patrick

Hello Patrick, Your spouse cannot qualify for spousal advantages no less than till you begin drawing your retirement advantages. Essentially the most that your spouse could possibly be paid is her personal profit charge or 50% of your main insurance coverage quantity (PIA). An individual’s PIA is the same as their Social Safety retirement profit charge if they begin drawing their advantages at full retirement age (FRA).

Once more, although, your spouse cannot qualify for spousal advantages no less than till you begin drawing your retirement advantages, and even then she might solely be paid as much as the upper of her personal quantity or 50% of your PIA, not 50% of your age 70 charge.

Nor might you accumulate spousal advantages out of your spouse’s account until she is drawing her personal advantages. Based mostly on the profit charges in your query, it feels like your spouse ought to most likely have filed for her advantages at her FRA. You can have then collected spousal advantages beginning at your FRA after which switched to drawing your retirement advantages at 70. And your spouse might then file for an extra spousal profit once you begin drawing by yourself document.

Sadly, an individual can solely declare advantages retroactively for as much as six months from the date of their software. So your spouse might file for her personal advantages now and declare six months of retroactive advantages, and you possibly can then declare spousal advantages retroactively for a similar 6 months. Whenever you file on your retirement profit, your spouse might take her spousal profit.

Earlier than submitting although, you and your spouse might wish to use my firm’s software program — Maximize My Social Security or MaxiFi Planner — to be sure that your figures are correct and to be sure that the technique I outlined above is actually your best choice. Social Safety calculators offered by different corporations or non-profits might present correct recommendations in the event that they have been constructed with excessive care. Finest, Larry


Does What I Learn On Social Safety’s Web site Imply That Since I Was Born In 1955, I Cannot Delay My Retirement Advantages And Take Simply My Spousal Profit?

Hello Larry, In researching our plan to request Social Safety advantages I ran throughout this assertion on the social safety administration’s web site:

“In case your partner’s birthday is January 2, 1954 or later, the choice to take just one profit at full retirement age now not exists. In case your partner information for one profit, they are going to be successfully submitting for all retirement or spousal advantages.”

Does this imply that since I used to be born in 1955, that I can’t delay my retirement advantages whereas receiving my spousal advantages? He shall be 70 in October of this yr and he plans to file for his advantages then. What about submitting and suspending? Thanks, Kelly

Hello Lisa. Sure, Congress amended the Social Safety legislation in 2015 to forestall folks born after 1/1/1954 from accumulating spousal advantages whereas permitting their very own profit charge to develop till 70, also referred to as resticting your software to your spousal advantages solely.

Because you have been born after 1/1/1954, once you apply for both your retirement advantages or for spousal advantages, you will be deemed to be submitting for each. In that case, you’ll be able to solely be paid primarily the upper of the 2 charges and your charge shall be decreased for age should you begin drawing previous to your full retirement age (FRA).

Whereas everybody can nonetheless droop their retirement profit at or after their FRA and there are numerous causes to take action if somebody filed early, the file and droop technique is now not viable for these born after 1/1/1954 as a result of nobody can obtain advantages on the document of somebody who suspended their advantages.

And be aware that even when it was nonetheless viable, it could have been your husband who filed for and suspended his retirement advantages, not you. You’ll have merely delayed your retirement advantages and filed for simply spousal advantages. However as I famous, this isn’t an choice for you sadly. Finest, Larry


Will I Be In a position To Earn Extra After I Flip 62 With out Being Penalized?

Hello Larry, I’v been on SSDI since 2015 and am turning 62 quickly. My present profit is about $2,175. I’ve been capable of work inside the tips, making solely $15,000 free lancing remotely. Nevertheless it’s very tough to stay on this quantity. After I flip 62, can earn extra with out being penalized? Thanks, Allen

Hello Allen, Turning age 62 would not allow you to earn extra and nonetheless qualify for Social Safety incapacity (SSDI) advantages.

To proceed to qualify for SSDI advantages, which can mechanically convert to common Social Safety retirement advantages once you attain full retirement age (FRA), you’ll be able to’t work and earn in extra of what Social Safety defines as substantial gainful exercise (SGA). The present month-to-month SGA restrict for non-blind people is $1,310. That quantity would not enhance just because an individual turns age 62, or some other age previous to FRA.

In principle, you possibly can decide to change to drawing Social Safety retirement advantages as a substitute of SSDI once you attain 62. In that case, you’ll be topic to the common Social Safety earnings check fairly than the SGA check. The common Social Safety earnings check exempts the primary $18,960 that an individual earns in 2021 earlier than withholding $1 of their advantages for every $2 that they earn in extra of $18,960.

Nevertheless, should you change to drawing retirement advantages at 62, your profit charge shall be decreased for age. SSDI advantages aren’t decreased for age, in order that they’re paid at 100% of your main insurance coverage quantity (PIA). When you opted to change to retirement advantages at 62, your month-to-month profit charge would successfully be minimize by roughly 29%.

Relying in your present SSDI month-to-month profit charge, that loss in your month-to-month profit quantity could be greater than sufficient to offset the extra quantity that you simply’d be allowed to earn should you change from SSDI to retirement advantages. Finest, Larry


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