Navigating Social Security benefits can be challenging, especially when it comes to the lesser-known spousal benefits. While Social Security is often associated with retired workers, millions of others receive benefits, including spouses who may not qualify based on their own work history.
In September, nearly 1.9 million people claimed Social Security through the spousal benefit, with an average monthly check of about $909, or roughly $10,908 per year. Here’s a closer look at the spousal benefit and what every retired couple should know about it.
Eligibility
The Social Security spousal benefit is designed for individuals who don’t qualify for benefits on their own, typically because they haven’t accumulated the 40 work credits needed to receive Social Security as a retiree. However, if they’re married to someone who fully qualifies and has filed for Social Security, the spousal benefit becomes an option.
To be eligible, the spouse must meet these criteria:
- Be at least 62 years old, unless they have a child younger than 16 or with a disability and qualify under the working spouse’s record.
- Claiming spousal benefits early, such as at 62, leads to a reduced payout. For example, someone who claims at 62 may receive only 32.5% of the full spousal benefit their partner would be entitled to if they retire at full retirement age (FRA), which is 67 for those born in 1960 or later.
For each month a spouse claims benefits before reaching FRA, Social Security reduces the spousal benefit by 25/36 of 1%. If the claiming period extends beyond 36 months before FRA, the reduction rate changes to 5/12 of 1% per month. However, spouses who wait until their FRA can receive up to 50% of their partner’s benefit amount at their FRA.
Double Benefits
Even if a spouse qualifies for Social Security benefits based on their work record, they may still find that claiming the spousal benefit is a better choice. This may happen if their spousal benefit is higher than their own retirement benefit. Thanks to a rule known as “deemed filing,” the Social Security Administration (SSA) automatically assesses both options, ensuring retirees receive the higher of the two amounts.
Here’s how it works:
| Example Monthly Benefit | Retirement Benefit | Spousal Benefit | Final Monthly Benefit |
|---|---|---|---|
| Spouse’s Amount | $750 | $1,000 | $1,000 |
For instance, if your personal benefit is $750 and your spousal benefit is $1,000, the SSA will first pay your $750 benefit and then “top it up” by adding an extra $250 to reach the higher spousal benefit of $1,000. You only have to apply once, and the SSA will do the rest.
Divorce
Divorce can impact eligibility for spousal benefits, but some divorced spouses still qualify if they meet specific requirements. If you’re currently married, you qualify for the spousal benefit after one year of marriage. However, if you’re divorced, the situation changes. To receive a spousal benefit based on an ex-spouse’s record, you must have been married for at least 10 years.
Additional details include:
- A divorced spouse can receive benefits only if they remain unmarried. If they remarry, they would typically become eligible for spousal benefits through their new partner.
- Divorcees can still qualify for the spousal benefit even if their former spouse remarries, so long as they themselves are unmarried.
Spousal Benefits
Spousal benefits provide a financial safety net for those who haven’t worked long enough to qualify for their own Social Security benefits. For retirees seeking to maximize their income, knowing eligibility and optimizing benefits—particularly if they qualify for both personal and spousal benefits—can lead to a more secure retirement.
Reviewing spousal benefits annually is a smart way for couples to make informed decisions and assess whether a spousal benefit might offer more than a personal benefit, especially if work credits are limited or income from Social Security is essential.
Social Security can seem complicated, but by knowing how the spousal benefit works, retirees can make the most of this program. With some planning, couples can maximize their Social Security benefits, reduce financial stress, and enjoy a more comfortable retirement.
FAQs
Who qualifies for spousal benefits?
Spouses of qualified workers, typically age 62 or older, can qualify.
What is the maximum spousal benefit?
The maximum is 50% of the working spouse’s benefit at their FRA.
Does remarriage impact spousal benefits?
Yes, remarriage disqualifies most from spousal benefits based on an ex.
Can divorced spouses receive benefits?
Yes, if married for at least 10 years and currently unmarried.
What happens if my own benefit is lower than my spousal benefit?
SSA will automatically adjust your benefit to the higher spousal amount.
