Key Takeaways:
– You can claim Social Security on an ex-spouse’s record even if you’re no longer married.
– Understanding spousal benefits for divorcees is crucial.
– Timing your benefit filing is key to ensuring financial security in retirement.
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Generally, eligibility for Social Security benefits is earned through working and contributing to the program. However, there are other ways to receive benefits in retirement, such as spousal benefits. Even without a work history, individuals may be entitled to spousal benefits from Social Security, even after divorce. It is important to be aware of the rules and strategically file for benefits to secure the necessary income for retirement.
Key Points about Spousal Benefits for Divorcees:
– To claim Social Security on an ex-spouse’s record, the marriage should have lasted at least 10 years.
– Remarrying may impact eligibility for spousal benefits.
– You can claim spousal benefits on your ex’s record after being divorced for at least two years, regardless of their Social Security status.
– Age requirements must be met, with a minimum age of 62 to receive benefits.
– Delaying benefit claims until full retirement age is beneficial, except for spousal benefits, which max out at 50% of your ex’s FRA amount.
– Claiming benefits on an ex-spouse’s record is allowed even if they have remarried, and it does not affect their benefits.
– Your ex-spouse is not informed about your benefit claim.
Eligibility for Social Security based on personal earnings may still allow for spousal benefits, but you cannot receive both simultaneously. Social Security will pay the higher amount between your personal benefit and spousal benefit, preventing double dipping.
For instance, let’s assume that based on your earnings record, you are eligible to receive $1,400 per month from Social Security. If your former spouse is entitled to $2,900 per month, then your spousal benefit could potentially amount to as much as $1,450. In this scenario, Social Security would pay you the higher amount of $1,450, rather than adding it to your own $1,400 benefit.
It’s important to note that the $1,450 figure is based on you waiting until Full Retirement Age (FRA) to claim benefits. Keep in mind that you can reduce your spousal benefit by claiming early.
If you are uncertain about when to begin claiming Social Security benefits, whether on your own record or your ex-spouse’s, seeking advice from a financial advisor is recommended. An advisor can guide you through the regulations and assist you in determining the optimal time to file. They can also clarify the financial ramifications of enrolling in Social Security at different stages of life.
Even if you have savings, Social Security could play a critical role as a retirement income source. Therefore, it is essential to carefully strategize the timing of your benefit claim, whether in relation to spousal benefits or benefits you have accrued on your own record.
