3 Secret Social Security Rules: To millions of Americans, Social Security is an important component of their retirement earnings. However, did you realize that there are special regulations to married couples so you can obtain more of your benefits? The 3 Secret Social Security Rules can save you a lot of money in retirement and even your financial future. Do you want to take advantage of the money that your spouse earns, are you aware of how early benefits will impact upon your spousal benefits, or do you know what happens in case your spouse dies.
Rule 1- Benefits Claims According To The Earning Record Of Your Spouse
Generally, your own employment history and income determine your Social Security benefits. However, when you have been married at least one year and your spouse is taking benefits, then you are also eligible to receive spousal benefits. Such benefits may be up to half of the primary insurance of your spouse or PIA- the amount your spouse gets at full retirement age (FRA).
In order to receive spousal benefits, You have to be 62 years old, have to take care of a child under 16 years or a disabled child. Your spouse should also be receiving Social Security benefits that are currently being received by the spouse. Even when you are unmarried, even when your former spouse is also married, you can still receive spousal benefits, provided you are divorced as long as you have been married at least 10 years. Spousal benefits are also an excellent alternative to couples and where one of the partners earned less or even remained at home to take care of the family.
Rule 2- Premature Claiming Reduces Spousal Benefits by More Than Yourself
When you retire earlier than you should receive your social security benefits, you lose a permanent portion of your monthly benefits. You can reduce up to 30 percent in case you start with age 62 in the best interests of your own. But the benefits on spouses are further cut even lower when you claim early.
| Claiming Age | Standard Benefit Reduction | Spousal Benefit Reduction |
| 62 | 30% | 35% |
| 63 | 25% | 30% |
| 64 | 20% | 25% |
| 65 | 13.3% | 16.7% |
| 66 | 6.7% | 8.3% |
In the case of your spousal benefit, at FRA (full retirement age) a spouse would receive a spousal benefit of 1200 when his spouse has a PIA of 2400. However, you only may get 900 when you claim it at the age of 64. As opposed to your own advantage, the spousal benefits do not accrue delayed retirement credits in the event one waits beyond his FRA. It is customary to state so when claiming at FRA in the case of spousal benefits.
Rule 3- Changes to Spousal Benefits to Survivor Benefits on Spouses Death
Also in case of the demise of your spouse who is taking spousal benefits, the benefits tend to change to survivor benefits. These survivor benefits have the potential to be significantly higher, 71.5- 100 percent of the monthly amount paid to your deceased spouse.
In order to receive survivor benefits you must Be age 60 or older (50-59 if disabled). Were married at least nine months at the time of the death of your spouse. Prior to age 60 (50 in the case of the disabled) never remarried. Also children, former spouses, and parents who are dependents may also be entitled to survivor benefits in some cases. A loss can be offset by a welcome increase in your monthly earnings since this conversion is possible.
Available Social Security Potential Increase by $23,760
Lots of retirees are unaware of the strategies that can make the difference in inflating their Social Security incomes. You can maximize your benefits by up to $23 760 a year by knowing the regulations regarding spousal and survivor benefits, credits accrued by delaying benefits, and when to claim benefits. Having these basic Social Security secrets can help you have more financial peace of mind upon retirement. Give a thought to seeking the counsel of a financial professional or reading materials that will assist you in strategizing your optimal claiming plan.
Married and Retired? These 3 Hidden Social Security Rules Can Boost Your Benefits
Married retirees are not just concerned with their earnings and claims when it comes to Social Security. With the help of spousal benefits, evading the penalties that early claiming of spouse payments causes, and an understanding of the survivor benefits, you can increase your monthly benefits and plan without fear. Today, invest a moment to scrutinize your and your spouse Social Security and hence make the best decisions of your retirement years.