Ask Larry: Shouldn’t I Get A Spousal Benefit That’s 50% Of My Husband’s Benefit?

Today’s column addresses questions about when a person can receive spousal benefits, whether it’s possible to receive widow’s benefits on the record of a spouse with substantial income who died 11 months after marriage and when divorced spousal benefits can be paid. Larry Kotlikoff is a Professor of Economics at Boston University and the founder and president of Economic Security Planning, Inc, which markets Maximize My Social Security and MaxiFi Planner.

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Shouldn’t I Get A Spousal Benefit That’s 50% of My Husband’s Benefit?

HI Larry, My husband is 72 he just started collecting his Social Security retirement benefit, which is $3,200 per month before Medicare. I started collecting my retirement benefits in November 2019 when I turned 62 due to health reasons. My benefit is $1,309 month. Shouldn’t I get an amount that’s half his retirement benefit as my spousal benefits? Thanks, Renee

Hi Renee, You wouldn’t be able to get a spousal benefit that’s equal to half of your husband’s benefit amount. Unreduced spousal benefits are calculated at 50% of the worker’s primary insurance amount (PIA), not 50% of their age 70 rate. A person’s PIA is equal to the amount of their Social Security retirement benefit if they start drawing at full retirement age (FRA). Also, if the person filing for spousal benefits is drawing their own retirement benefits, their own PIA is subtracted from 50% of their spouse’s PIA to determine if they qualify for spousal benefits.

In other words, you could only collect spousal benefits if 50% of your husband’s PIA is more than your PIA. If your benefit rate is $1309 and you started drawing at 62, your PIA must be around $1,800. And if your husband started drawing at 70 or later and his benefit rate is $3,200, then his PIA is must be around $2,425. So it sounds like your PIA is much more than 50% of your husband’s PIA, which means you couldn’t qualify for any spousal benefits. Best, Larry

Will I Be Eligible For Widow’s Benefits At Age 60?

Hi Larry, My first husband died three days before our first anniversary. I remarried seven years later and we divorced after about 14 months. I am not currently married and will be 60 next month. I would like to apply for widow’s benefits if I’m truly eligible. Am I? Thanks, Heather

Hi Heather, Yes, it sounds like you’d potentially be eligible for widow’s benefits on your first husband’s record. You only need to have been married for at least nine months leading up to your spouse’s death to meet the duration of marriage requirement for widow’s benefits. And your subsequent marriage won’t hinder your ability to qualify for widow’s benefits on the account of your first husband since it has ended. However, if you file for widow’s benefits prior to your full retirement age (FRA), your rate will be reduced for age and your benefits could be subject to full or partial withholding if you work and earn too much due to the earnings test.

Your best filing strategy is could be either filing for reduced widow’s benefits early and then switching to your own record at 70, or filing for reduced retirement benefits on your own record early and then filing for unreduced widow’s benefits at full retirement age (FRA). Normally, you would want to start out drawing the lower benefit first and then switch to the higher record when it reaches its highest potential rate. Best, Larry

Can I Retire On My Ex’s Social Security?

HI Larry, I’m five years older than my former husband, who makes nearly three times what I make in continuing income. I turn 65 next week. If i retire at 66, he’ll be 61. Can I file for a divorced spousal benefit based on his record? If not, and I take my retirement benefit based on my own record, can I change when he turns 66? Would claiming a benefit on his record affect his benefits in any way? Thanks, Danielle

Hi Danielle, You can’t qualify for divorced spousal benefits until your ex is either a) drawing their benefits, or b) is at least age 62 and your divorce has been final for at least two years. You couldn’t start out drawing your own retirement benefits and then to switch drawing just a divorced spousal benefit, but what you could do is file for your own retirement benefits and later file for an excess divorced spousal benefit when you become eligible for those benefits.

 If 50% of your ex’s primary insurance amount (PIA), which is equal to their full retirement age (FRA) retirement benefit amount, is higher than your own PIA, what you’ll then receive is your own retirement benefit amount plus an excess divorced spousal benefit. The unreduced amount of the excess divorced spousal benefit would be equal to the difference between your own PIA and 50% of your ex’s PIA.

Claiming a divorced spousal benefit on your ex’s record will have absolutely no effect of his retirement benefit or any survivor’s or auxiliary benefits that can be claimed on his record. You may want to consider using my company’s software — Maximize My Social Security or MaxiFi Planner — to analyze your options so that you can determine your best strategy for maximizing your benefits. Social Security calculators provided by other companies or non-profits may provide proper suggestions if they were built with extreme care. Best, Larry