Yes, she can switch to spousal when you retire and it may even happen automatically. But if she starts collecting before her full retirement age (67) her benefits will be reduced and that reduction will also apply to her spousal benefits.
Either spouse can maximize their regular Social Security benefit amount by waiting past their full-retirement age to apply, up to age 70. Benefits generally increase 8% each year filing is delayed.
It does matter. As long as you both live until your wife reaches age 70 (and you reach age 77), there is a significant benefit for her to claim at 62 and you to delay until 70 rather than the reverse.
A spouse can choose to retire as early as age 62, but doing so may result in a benefit as little as 32.5 percent of the worker's primary insurance amount. A spousal benefit is reduced 25/36 of one percent for each month before normal retirement age, up to 36 months.
Spouses and ex-spouses
Payments start at 71.5% of your spouse's benefit and increase the longer you wait to apply. For example, you might get: Over 75% at age 61.
The first exception, which can be deemed as the Social Security spousal benefits loophole, works where an individual who remarries at 60 or later may still be entitled to Social Security survivors' benefits if the second marriage ends before the death of the first spouse.
However, your maximum spouse's benefit remains 50% of their full retirement age benefit, not their higher amount including delayed retirement credits. (Your benefit as a surviving spouse would be based on the higher amount.)
Have you heard about the Social Security $16,728 yearly bonus? There's really no “bonus” that retirees can collect. The Social Security Administration (SSA) uses a specific formula based on your lifetime earnings to determine your benefit amount.
You can get Social Security retirement benefits and work at the same time. However, if you are younger than full retirement age and make more than the yearly earnings limit, we will reduce your benefits. Starting with the month you reach full retirement age, we will not reduce your benefits no matter how much you earn.
If you are receiving retirement or disability benefits, your spouse may be eligible for spouse benefits if they are: At least age 62. Any age and caring for a child who is under age 16 or who has a disability that began before age 22.
To determine the amount of SSI benefits a couple is eligible to receive, their combined countable income is deducted from the FBR for a couple. The result is then divided equally and paid to the couple in separate checks.
A wife with no work record or low benefit entitlement on her own work record is eligible for between one-third and one-half of her spouse's Social Security benefit.
The longer the spouse with the higher benefit waits to start collecting, the higher benefits will be for both spouses. Delaying the higher earning spouse's benefits could also eventually increase the other spouse's survivors benefits.
Each survivor benefit can be up to 100% of your benefit. The amount may be reduced if the women start benefits before their own full retirement age, but they don't have to share — the amount isn't reduced because you've had more than one spouse.
The Social Security 5-year rule refers specifically to disability benefits. It requires that you must have worked five out of the last ten years immediately before your disability onset to qualify for Social Security Disability Insurance (SSDI).
Exactly how much in earnings do you need to get a $3,000 benefit? Well, you just need to have averaged about 70% of the taxable maximum. In our example case, that means that your earnings in 1983 were about $22,000 and increased every year to where they ended at about $100,000 at age 62.
Surviving spouse, at full retirement age or older, generally gets 100% of the worker's basic benefit amount. Surviving spouse, age 60 or older, but under full retirement age, gets between 71% and 99% of the worker's basic benefit amount.
The maximum Social Security spousal benefit is equal to 50% of a worker's Social Security payment at full retirement age. Early retirement reduces benefits for workers and their spouses and ex-spouses.
A Social Security spousal rule that was around for decades ended this year for the last eligible retirees — those who turned 70 on Jan. 1, 2024. The rule allowed recipients to switch between their benefits and their spouses' to receive the maximum amount.
Key takeaways. Once you turn 62, you typically qualify for a spouse's Social Security benefit.
You can start receiving your Social Security retirement benefits as early as age 62. However, you are entitled to full benefits only when you reach your full retirement age. If you delay taking your benefits from your full retirement age up to age 70, your benefit amount will increase.
To qualify to get $144 added back to your Social Security check, you can enroll in a Medicare Advantage plan that offers a Part B premium reduction or giveback benefit.