4 Little-Known Social Security Rules All Married Retirees Should Know

Key Points

• Claiming spousal benefits allows you to receive up to 50% of your spouse’s primary insurance amount.

• The reduction amount by claiming spousal benefits early is greater than if you claim standard benefits early.

• If you’re receiving spousal benefits when your spouse passes away, your benefits convert to survivor benefits.

• The $23,760 Social Security bonus most retirees completely overlook ›

Social Security plays a major role in many people’s retirement finances. Many recipients rely on the program for much or all of their retirement income, so it’s hard to overstate just how important the program is for millions of Americans.

There are many working parts to Social Security. In fact, some would argue too many. However, for retired couples, there are rules, exceptions, and criteria that don’t apply to single recipients. Here are four little-known Social Security rules all married retirees should know.

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1. You can claim benefits based on your partner’s earnings record

Your Social Security benefit is mostly determined by your career earnings. Simply put, the more you earn, the more you pay in Social Security payroll taxes, and the higher your benefits (up to a certain amount).

The problem is that not everyone has consistent or high earnings. Some people are stay-at-home parents, some people can’t work for health reasons, and some have long stretches of unemployment. When any one of these is the case, the person’s benefit will likely be minimal.

Thankfully, Social Security offers spousal benefits that allow someone to claim benefits based on their spouse’s earnings record. When you claim spousal benefits, you’re eligible to receive up to 50% of your partner’s primary insurance amount (PIA), which is the monthly amount someone will receive if they claim benefits at their full retirement age (FRA).

To qualify for spousal benefits, you must be married for at least a year, your spouse must currently be receiving benefits, and you need to be at least 62 years old (or caring for a child under age 16 or with a disability that began before age 22).

2. Divorcees can claim spousal benefits

You don’t need to currently be married to claim spousal benefits based on someone else’s earnings record. If you were married for at least 10 years, you can also claim spousal benefits, as long as you’re currently unmarried.

If your ex-spouse remarries, you’re still eligible for spousal benefits; it won’t affect your eligibility. However, you must still meet the above eligibility requirements of being at least 62.

3. Claiming spousal benefits early will still reduce monthly benefits

Like standard benefits, if you claim spousal benefits before your FRA, the monthly amount you receive will be permanently reduced. The difference between the two is in how much the benefits are reduced.

Claiming spousal benefits early reduces your monthly amount by 25/36 of 1%, up to 36 months. Each additional month further reduces benefits by 5/12 of 1%.

Assuming your FRA is 67 (which is the case for anyone born in 1960 or later), below is how the reductions differ between standard and spousal benefits:

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%

Source: Social Security Administration.

For example, if your spouse’s PIA was $2,000, that means you would be eligible to receive $1,000 by claiming at your FRA. If you claimed benefits at 63, you would only be eligible to receive $700.

It’s also worth noting that, unlike with standard benefits, you won’t receive delayed retirement credits if you delay claiming spousal benefits past your FRA.

4. Spousal benefits are converted to survivors benefits when a spouse passes away

If you’re receiving spousal benefits and your spouse passes away, your benefits are typically converted to survivors benefits. When you receive these benefits, you begin receiving anywhere between 71.5% to 100% of your deceased spouse’s benefits. Since spousal benefits are only up to 50% of your spouse’s benefits, this ends up boosting your monthly benefit.

To qualify for survivors benefits, you must be at least 60 years old (50 to 59 if you have disability), had been married for at least nine months before your spouse’s death, and didn’t remarry before age 60 (50 if you have a disability).

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