What is spousal benefits from social security?
Spousal benefits from social security are a form of financial support provided to eligible individuals who are married or have been married to someone who has worked and paid into the Social Security system. This benefit is designed to offer financial security to those who rely on their spouse’s earnings history, particularly in cases where the spouse may not have accumulated sufficient work credits on their own. Understanding how spousal benefits work can be crucial for individuals and couples planning for their retirement years.
The Social Security Administration (SSA) offers two types of spousal benefits: primary spousal benefits and auxiliary spousal benefits. Primary spousal benefits are based on the earnings record of the worker, while auxiliary spousal benefits are based on the earnings record of the worker’s deceased spouse.
Primary Spousal Benefits
Primary spousal benefits are available to married individuals who have reached full retirement age (FRA), which is currently set at 66 to 67 years old, depending on the year of birth. To qualify for these benefits, the spouse must have been married to the worker for at least one year. The benefit amount is calculated as a percentage of the worker’s primary insurance amount (PIA), which is the amount the worker would receive if they chose to start receiving retirement benefits at their FRA.
It’s important to note that if the spouse decides to start receiving benefits before reaching their FRA, the benefit amount will be reduced. Conversely, if the spouse waits until after their FRA to start receiving benefits, the amount may increase, depending on the age at which they begin receiving the benefit.
Auxiliary Spousal Benefits
Auxiliary spousal benefits are available to surviving spouses of deceased workers who have paid into the Social Security system. These benefits can be claimed at any age, but the amount received will be reduced if the surviving spouse begins receiving benefits before reaching their FRA. The benefit amount is also based on the deceased worker’s PIA, and it can be as high as 100% of the worker’s PIA if the surviving spouse qualifies for full benefits.
Surviving spouses can also choose to receive survivor benefits while their own retirement benefits are being paid, which may result in a lower monthly benefit amount. Additionally, if the surviving spouse remarries before the age of 60, they may still be eligible for survivor benefits based on their deceased spouse’s record.
Eligibility and Application
To be eligible for spousal benefits, individuals must meet certain criteria, such as being a U.S. citizen or a legal resident, and having a valid Social Security number. The SSA offers an online application process for spousal benefits, making it convenient for eligible individuals to apply from the comfort of their own homes.
It’s essential for individuals to plan ahead and understand their options regarding spousal benefits, as the decision to claim benefits at a certain age can significantly impact their financial well-being in retirement. Consulting with a financial advisor or the SSA can help individuals make informed decisions about their Social Security benefits.
