Married
If you are married, you may be able to collect up to one-half of your spouse’s Social Security benefit. This won’t affect your spouse’s checks. Ask an RSSA® for details.
Receive up to 50% of your spouse’s Social Security benefits
Maximizing your Social Security benefits is crucial for a fulfilling retirement. If you're married or were married and earned less than your spouse, you might qualify for spousal benefits. Knowing when to claim these benefits can greatly affect your total amount. An RSSA® Advisor can help you navigate this process for optimal results.
How do I know I am eligible for spousal Social Security benefits?
To be eligible, you must have been married for at least one year, be at least 62 years old, and if divorced, the marriage must have lasted over 10 years and you must have been divorced for at least two years. Your working spouse needs to have claimed benefits. If you have your own work history, you'll receive either your own benefit or the spousal benefit, whichever is higher.
When should I claim my spousal Social Security benefits?
Claiming Social Security at full retirement age (66 or 67) maximizes benefits. Early claims reduce payouts. Spousal benefits don’t increase after full retirement age. Divorced individuals must have been married 10 years, divorced for two years, and unmarried to claim. Remarrying makes you eligible for your new spouse's benefits. If twice divorced, you can claim the higher spousal benefit. Survivor benefits equal the deceased spouse's full benefit. Consult an RSSA® advisor for exceptions and details.
Divorced
If you are divorced and 62 or older, you may qualify to receive Social Security benefits from your ex-spouse — in addition to your own Social Security payments. Ask an RSSA® for details.
Divorced? You may be able to collect Social Security benefits from your ex-spouse.
If you’re planning for your retirement, it pays to know all of the benefits you may be entitled to. If you are divorced, you may be eligible to collect Social Security benefits based on the earnings of your ex-spouse — and that’s in addition to your own Social Security benefits. An Advisor with the RSSA® credential can guide you every step of the way.
How do I know I am eligible for Social Security benefits from my ex-spouse?
To qualify for Social Security benefits based on an ex-spouse's record, you must meet these criteria: your marriage lasted at least 10 years, you're at least 62, currently single, and eligible for Social Security retirement benefits. Additionally, you can receive benefits if divorced for at least two continuous years and your ex-spouse qualifies for but hasn't applied for benefits.
What are some considerations that I need to be aware of?
When applying for spousal benefits as a divorced spouse, Social Security compares your benefits with those based on your own work record and pays the higher amount. Born before January 2, 1954, you can opt for divorced spouse benefits and defer your own. If you remarry, you lose eligibility for ex-spouse benefits. If your ex remarries, you can still receive benefits based on their record, but you can't if you remarry while receiving these benefits.
Widowed
If your spouse has passed away, you may be eligible for a survivor benefit. The extra money may be essential for you. Ask an RSSA® for details.
Survivor benefits: Receive up to 100 percent of your late spouse’s entitlements
If you are eligible to collect Social Security benefits upon retirement, your spouse or dependents may be eligible for survivor benefits in the event of your death. The rules can be complicated and often change, which is why having an Advisor with the RSSA® credential on your side is so important. We’ll help you navigate the process to help ensure you receive all of the benefits that are legally yours.
How do I know if I am eligible for survivor benefits?
To qualify, you must be:
- A widow(er) age 60+ (50+ if disabled) and not remarried
- A widow(er) caring for the deceased’s child under 16 or disabled
- An unmarried child under 18 (or 19 if a full-time student), or 18+ with a disability starting before 22
- A stepchild, grandchild, step-grandchild, or adopted child under certain conditions
- A parent, age 62+, dependent on the deceased
- A surviving divorced spouse meeting other criteria
How large a benefit can I expect?
Survivor benefits vary based on the survivor’s relationship and age. Spouses at full retirement age get 100%, those aged 60 to full retirement age get 71.5% to 99%, disabled spouses aged 50-59 get 71.5%, and those caring for a child under 16 get 75%. Divorced spouses qualify similarly. Children under 18 (or 19 if in school) and disabled dependents get 75%, a dependent parent gets 82.5%, and two dependent parents get 75% each.
Single
If you are single, and solely responsible for your retirement, making the optimal Social Security claiming decision is particularly important. Ask an RSSA® about your options.
Singles: Collecting maximum benefits comes down to good timing
Maximizing Social Security benefits is crucial for most retirees. To do so, it's essential to know the optimal time to start collecting and how to coordinate benefits with other retirement income sources. This strategy can potentially add thousands to your after-tax income. An RSSA®-credentialed advisor can guide you in making the best decisions to ensure you receive all the benefits you're entitled to.
When and how should I start collecting?
When deciding when to claim Social Security benefits, consider several factors. You can start taking reduced benefits at age 62 or wait until your full retirement age (FRA), which ranges from 65 to 67 based on your birth year. Delaying benefits until FRA increases your monthly amount, with further increases if you delay up to age 70.
What percentage of Social Security Is taxable?
At full retirement age, the maximum Social Security benefit is $3,113, and at age 62, it is $2,324. The highest monthly benefit in 2021 is $3,895, obtainable by filing at age 70. Social Security is not taxable for individuals with annual incomes below $25,000. For incomes between $25,000 and $34,000, half of the benefits are taxable, and for incomes above $34,000, up to 85% may be taxable.
Self-Employed
As a self-employed person, you may be able to decrease your payroll taxes — yet still receive the maximum income from Social Security. Ask an RSSA® for details.
Self Employed? Tax filings are different; benefits don’t change
Self-employed individuals, including gig workers and solopreneurs, are increasingly opting to be their own boss. This choice impacts their Social Security since they must pay both employee and employer portions of Social Security taxes. Despite this, Social Security benefits remain consistent whether one is self-employed or traditionally employed. For personalized guidance, consulting an RSSA®-credentialed advisor can be beneficial.
What you need know if you’re self employed:
Self-employed individuals pay Social Security taxes annually with their federal tax return instead of having them withheld from each paycheck. They earn work credits like employees and qualify for benefits based on credits and earnings. Social Security taxes are based on net income, so deductions for business expenses can lower taxable income and potentially reduce future benefits. Benefits are calculated using the 35 highest-earning years. If annual earnings are $400 or less, Social Security taxes are waived.
The takeaway:
Self-employed individuals must decide between taking deductions to lower their taxes or potentially reducing their future Social Security benefits. The best strategy depends on individual circumstances. Registered Social Security Analysts® from NARSSA can offer guidance to optimize both tax savings and Social Security benefits for retirement.
Disability
Social Security can provide valuable disability benefits if you qualify, but these benefits — and how you qualify for them — are often misunderstood. Ask an RSSA® for details.
Extra benefits await those with certain disabilities
If you’re disabled and can’t work, you might be eligible for Social Security Disability Insurance (SSDI) benefits. This Federal program, managed by the Social Security Administration, supports you and your family if you’ve worked enough and paid Social Security taxes. Eligibility depends on specific conditions, so consulting an Advisor with an RSSA® credential can help determine if you qualify and understand the requirements.
What Are the Work History Eligibility Requirements for SSDI?
To qualify for benefits, you need a certain number of work credits based on your age. Generally, 40 credits are required, with at least 20 earned in the last 10 years. If you're under 31, you may qualify with fewer credits.
What are the Disability Requirements for SSDI?
To qualify for SSDI benefits, you must be unable to perform your previous job or any other work due to a long-term or terminal medical condition. The SSA uses a list of impairments, including severe musculoskeletal, respiratory, heart, neurological, and other conditions. If you don’t qualify for SSDI, you might be eligible for SSI benefits, which require meeting strict income and asset criteria.
Immigrants
If you are a lawful permanent resident, but not yet a citizen, you may still qualify for Social Security benefits. Ask an RSSA® for details.
Non-citizens: You may be eligible for Social Security benefits under certain conditions
If you moved to the U.S. for a better life and seek financial stability for retirement, you can achieve this if you meet certain criteria. You’re eligible for Social Security benefits if you’re a permanent resident, have a work visa, or entered under Family Unity or Immediate Relative provisions. An RSSA®-credentialed Advisor can guide you through claiming these benefits. Legal immigrants who meet SSA work credit requirements, including credits from their home country, may also qualify.
How to qualify for Social Security benefits:
To work legally in the U.S., immigrants need a Social Security Number (SSN), which allows employers to report earnings to the federal government. This ensures the Social Security Administration can track work credits and benefits. To qualify for benefits, immigrants must accumulate 40 work credits, with one credit earned per quarter of at least $1,470 in earnings. Additionally, immigrants may be eligible for benefits through a “totalization agreement” if they have work credits from one of over 25 partner countries.
The takeaway
Legally immigrated individuals to the U.S. might qualify for Social Security benefits if they have earned 40 U.S. work credits (roughly 10 years) or come from a country with a totalization agreement with the U.S. Registered Social Security Analysts®, trained by the National Association of Registered Social Security Analysts® (NARSSA), can assist in determining your eligibility, filing correctly, and maximizing your retirement benefits.
