Why Wouldn’t You Claim Your Social Security Spousal Benefit?
Why Wouldn’t You Claim Your Social Security Spousal Benefit?
With many people approaching retirement, it’s crucial to make the most of every financial opportunity available. One such opportunity is the delayed retirement credit, which ensures your Social Security payments keep up with inflation. For those who have been left as the surviving spouse of a deceased partner, claiming their partner's spousal benefit can provide a significant financial boost. In this article, we'll explore the reasons why you absolutely should consider claiming your deceased spouse’s spousal benefit and how to proceed with the process.
Understanding the Spousal Benefit
A spousal benefit from Social Security is a payment based on the earnings record of a deceased spouse. If you’re a surviving spouse or widow, you are eligible to receive this benefit as long as you are over 60 (or 50 if you are disabled) and your deceased spouse had been entitled to retirement or disability benefits.
Key Reasons to Claim the Benefit
Additional Income: After your spouse's passing, the spousal benefit can provide a steady income to help cover essential expenses such as housing, food, and medical care. Inflation Protection: The benefit is indexed for inflation, ensuring that your purchasing power remains intact as years pass and costs rise. Eligibility Periods: You can claim the spousal benefit as early as age 60, with factors such as age, marital status, and disability impacting the amount you can receive. Long-Term Financial Security: By claiming the spousal benefit, you can secure a stable financial future, which is especially important if you were not in the workforce during your spouse's working years.Eligibility and Amounts
To be eligible, you typically need to meet certain criteria such as age requirements and marital status. If your deceased spouse was entitling themselves to full retirement or disability benefits, you may be entitled to up to 50% of their Social Security benefit. This means, for example, if your spouse was receiving a $2,000 monthly benefit, you could potentially receive an additional $1,000 per month.
Claiming the Spousal Benefit
Claiming your deceased spouse’s spousal benefit involves several steps:
Verify Eligibility: Confirm that the deceased spouse was eligible for Social Security benefits and that the benefits were paid before their death. Submit Forms: Fill out the necessary forms, such as the Application for Old-Age, Survivors and Disability Insurance Benefits (SSA-1162). Provide Documentation: Supply the Social Security Administration with documentation that includes birth certificates, marriage certificates, death certificates, and information about the deceased spouse’s Social Security number and date of death. Review Your Benefits: Review the amount you will receive and any adjustments needed based on your current benefit. Start Receiving Payments: Once the application is approved, you will begin receiving the spousal benefit as either a primary benefit or an additional supplement to your own benefit.Conclusion
Claiming your deceased spouse’s spousal benefit is a smart financial move that can provide a stable income stream in your later years. It allows you to ensure long-term financial security, which is especially critical given the uncertainty of life post-retirement. Given the potential financial benefits, it’s important to understand the process and take action to secure your benefits.