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Old 10-25-2014, 08:51 PM
 
Location: Santa Cruz
698 posts, read 644,856 times
Reputation: 718

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My husband is 53, I am 46. His statement said he'd be receiving about $1200 a month. That would mean about $600 for me.

On my own record, it said I'd get about $250. I haven't worked officially (on the rolls) for about 15 years.

I work with my husband part time, he is a painting contractor. I will not be getting my own job anytime soon.

Can I apply for my own Social Security Benefits at age 62, then apply for my husbands at age 67 (my full retirement age)? If so, would it behoove me to wait until age 70 to apply for Spousal Benefits?


I know these amounts aren't exact but just wondered what the formula was to maximize benefits in our circumstance.


Thanks so much
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Old 10-25-2014, 09:34 PM
 
10,819 posts, read 8,077,208 times
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Quote:
Originally Posted by CaliforniaGal1 View Post
[Can I apply for my own Social Security Benefits at age 62, then apply for my husbands at age 67 (my full retirement age)? If so, would it behoove me to wait until age 70 to apply for Spousal Benefits?
There's no way to know what the rules will be 16 years out, when you're 62.
As they stand today - No, you can't apply at 62 for your husbands benefits. When you're under full retirement age, Social Security administration, not you, determines whether your pension is based upon yours or your husband's benefits.
So there's no "if so".
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Old 10-25-2014, 10:25 PM
 
Location: Wisconsin
21,545 posts, read 44,077,984 times
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Quote:
Originally Posted by CaliforniaGal1 View Post
Can I apply for my own Social Security Benefits at age 62, then apply for my husbands at age 67 (my full retirement age)?

If so, would it behoove me to wait until age 70 to apply for Spousal Benefits?
No. You get full spousal benefits at your FRA based on the amount he is receiving. If he collects before FRA, your spousal benefit is reduced accordingly.
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Old 10-25-2014, 10:54 PM
 
Location: Santa Cruz
698 posts, read 644,856 times
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Quote:
Originally Posted by Ariadne22 View Post
No. You get full spousal benefits at your FRA based on the amount he is receiving. If he collects before FRA, your spousal benefit is reduced accordingly.
Thank you Ariadne, that's exactly what I wanted to know
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Old 10-26-2014, 12:46 PM
 
Location: Grove City, Ohio
10,139 posts, read 12,402,575 times
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Quote:
Originally Posted by CaliforniaGal1 View Post
Thank you Ariadne, that's exactly what I wanted to know
For a husband and wife team working together what you want to do is lower the income of the lower earning spouse, think working for free, giving the the money you would have earned to the higher earning spouse.

Remember your benefit, assuming you are the lower earning spouse, will be based on your own earnings record or 50% of the higher earning spouse whichever is more.

I think it is smarter to avoid an even split on income.

Both spouses earn equal amounts and each has a monthly benefit of $1,400 at FRA. Good for you, you each get $1,400 for a total combined benefit of $2,800.

If all the income goes into the higher earning spouses income the higher earning spouses benefit might be $1,800 instead of $1,400 but the lower earning spouse can elect to receive their own benefit, which could have been $1,400 a month, or 50% of the higher earning spouses income which ever is more.

50% of $1,800 is $900 so the total would be $2,700 which is a cut from the $2,800 but it's only $100 less. Here is what is important here, what happens if higher earning spouse dies? As in most men die before their wives.

The lower earning spouse would lose their 50% benefit but pick up the full benefit of the higher earning spouse.

Think of the widow. Husbands, think of your wives.

If income and benefits were equal your wife would be stuck with a monthly benefit of $1,400. Your benefit would evaporate.

However, if the widow made substantially less, her husband made more so he could get a $1,800 benefit, the widow would lose her 50% but pick up the full benefit of her deceased husband. For a widow $1,800 sounds a whole lot better than $1,400.

In my opinion, unless you are wealthy and don't need social security, everyone should wait until FRA if at all possible.
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Old 10-28-2014, 11:47 PM
 
Location: Santa Cruz
698 posts, read 644,856 times
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Quote:
Originally Posted by nicet4 View Post
For a husband and wife team working together what you want to do is lower the income of the lower earning spouse, think working for free, giving the the money you would have earned to the higher earning spouse.

Remember your benefit, assuming you are the lower earning spouse, will be based on your own earnings record or 50% of the higher earning spouse whichever is more.

I think it is smarter to avoid an even split on income.

Both spouses earn equal amounts and each has a monthly benefit of $1,400 at FRA. Good for you, you each get $1,400 for a total combined benefit of $2,800.

If all the income goes into the higher earning spouses income the higher earning spouses benefit might be $1,800 instead of $1,400 but the lower earning spouse can elect to receive their own benefit, which could have been $1,400 a month, or 50% of the higher earning spouses income which ever is more.

50% of $1,800 is $900 so the total would be $2,700 which is a cut from the $2,800 but it's only $100 less. Here is what is important here, what happens if higher earning spouse dies? As in most men die before their wives.

The lower earning spouse would lose their 50% benefit but pick up the full benefit of the higher earning spouse.

Think of the widow. Husbands, think of your wives.

If income and benefits were equal your wife would be stuck with a monthly benefit of $1,400. Your benefit would evaporate.

However, if the widow made substantially less, her husband made more so he could get a $1,800 benefit, the widow would lose her 50% but pick up the full benefit of her deceased husband. For a widow $1,800 sounds a whole lot better than $1,400.

In my opinion, unless you are wealthy and don't need social security, everyone should wait until FRA if at all possible.
I thought I had responded to this already, started typing but must've got interrupted

INVALUABLE. THANK YOU!!

I checked into our Social Security amounts

It's best he take his Social Security 6 months later.. after his Full Retirement (age at 68)

I'll take my Spousal Benefit 3 years early...

My SS on my on record was more than I thought...it's $299 a month so unless I work on record till then, this is the plan.

To have my husband wait much longer than Full retiremement age would remove us from the "medicaid realm" though we shouldn't need medicaid. We should easily be able to afford the usual medicare costs Medicare 2014 and 2015 costs at a glance | Medicare.gov

Prescriptions... not sure yet but will probably forego those drug plans

.
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Old 10-29-2014, 02:00 AM
 
71,811 posts, read 71,896,917 times
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Quote:
Originally Posted by CaliforniaGal1 View Post
My husband is 53, I am 46. His statement said he'd be receiving about $1200 a month. That would mean about $600 for me.

On my own record, it said I'd get about $250. I haven't worked officially (on the rolls) for about 15 years.

I work with my husband part time, he is a painting contractor. I will not be getting my own job anytime soon.

Can I apply for my own Social Security Benefits at age 62, then apply for my husbands at age 67 (my full retirement age)? If so, would it behoove me to wait until age 70 to apply for Spousal Benefits?


I know these amounts aren't exact but just wondered what the formula was to maximize benefits in our circumstance.


Thanks so much


if you claim early benefits ay 62 you never ever give yours up. so at 62 you file for yours as it is your only choice before fra..

at your full retirement age assuming your husband files or files and suspends the following happens.

they take 1/2 your husbands full amount at fra and SUBTRACT YOUR FULL AMOUNT YOU WOULD HAVE GOTTEN AT FRA.

the difference is added to your early benefit amount you are receiving.

it will work out to be less than 1/2 his but more than your early amount.
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Old 10-29-2014, 03:45 AM
 
71,811 posts, read 71,896,917 times
Reputation: 49370
an example makes it easy to see how it is arrived at.

my wife gets an early benefit of 700. her full would have been 1000 or so.

my full is 2500.00 so 1/2 mine is 1250.

1250 less 1,000=250.00 so she would get an additional 250 bucks added to her own when i file. she would get 950.00.

as you see that early penalty always stays with her and she never gets the full 1/2 . she gets 950 vs 1250 if she did this at full retirement age and didn't file at 62..


if you file before your fra you never really switch to a sousal benefit , you can't , that is a perk you lose by filing early.

you do get a bump up as you see in your own rate but you are always stuck with your own benefit.

one of the advantages of waiting to fra is you can opt for a true spousal benefit and leave your own to grow.

while divorced folks can file at fra for spousal on each other married folks can only file one spousal claim per couple.

at fra you have two choices if you wait.

file and suspend where your husband files and suspends and keeps his own going . you can take 1/2 his full benefit.

or file a restricted application. your husband just files for 1/2 yours at fra and keeps his own growing.


in our case my wife is collecting early , so i will wait and fra i could file for 1/2 hers and leave mine to grow using retricted application..

that would give us two checks , my spousal benefit from her and her own check coming in..


or i could file and suspend . my wife would get a kicker added to hers and i would get no check while delaying mone.

two different options ,two different numbers of checks , 2 different amounts .

you have to see which way is better .

Last edited by mathjak107; 10-29-2014 at 04:00 AM..
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Old 10-29-2014, 09:14 AM
 
Location: Central Massachusetts
4,800 posts, read 4,856,396 times
Reputation: 6379
5 Social Security Facts You Need to Know - US News

Just to reiterate what mathjak says. Run the numbers look at the different scenarios and do what is best for you. It is important though that you make sure you do look at your numbers before you make any decisions.
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Old 10-29-2014, 10:36 AM
 
Location: Santa Cruz
698 posts, read 644,856 times
Reputation: 718
Quote:
Originally Posted by mathjak107 View Post
an example makes it easy to see how it is arrived at.

my wife gets an early benefit of 700. her full would have been 1000 or so.

my full is 2500.00 so 1/2 mine is 1250.

1250 less 1,000=250.00 so she would get an additional 250 bucks added to her own when i file. she would get 950.00.

as you see that early penalty always stays with her and she never gets the full 1/2 . she gets 950 vs 1250 if she did this at full retirement age and didn't file at 62..


if you file before your fra you never really switch to a sousal benefit , you can't , that is a perk you lose by filing early.

you do get a bump up as you see in your own rate but you are always stuck with your own benefit.

one of the advantages of waiting to fra is you can opt for a true spousal benefit and leave your own to grow.

while divorced folks can file at fra for spousal on each other married folks can only file one spousal claim per couple.

at fra you have two choices if you wait.

file and suspend where your husband files and suspends and keeps his own going . you can take 1/2 his full benefit.

or file a restricted application. your husband just files for 1/2 yours at fra and keeps his own growing.


in our case my wife is collecting early , so i will wait and fra i could file for 1/2 hers and leave mine to grow using retricted application..

that would give us two checks , my spousal benefit from her and her own check coming in..


or i could file and suspend . my wife would get a kicker added to hers and i would get no check while delaying mone.

two different options ,two different numbers of checks , 2 different amounts .

you have to see which way is better .
Thanks so much! A few questions for you or anyone...do you know if I can file for my own SS benefit, keep it and forego the spousal all together?
My husband is 7 3/4 years older so even when he files a year later (at age 68), I STILL won't be old enough to file for SS early, whether on my own accord or his.

We will have no expenses. An electric car...our own home and we are those rare people, even if we had more money, wouldn't use it. We live very simply and love it that way. We will have a savings of about 100 thousand so can pay for our own health insurance BUT...as we hear the stories, just in case one of us becomes seriously ill, that goes fast. And I want to remain within the medicaid realm in case we suddenly need to file for medicaid. After doing Hospice for our Uncle and watching his life savings go down so fast, it scared me. We've never been wealthy but not on welfare either. Usually some realm above that

My husband would've already filed a year late by then and been receiving his monthly amount. I have alot of numbers to crunch... thanks for your assistance
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