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Claiming Social Security spousal benefits after full retirement can cut pay
Spousal benefits generally cannot increase past the amount available at full retirement age, and waiting could forfeit up to six months of retroactive payments.
Social Security rules for spousal benefits can be easily misunderstood, especially around when to file, according to guidance highlighted by Yahoo Finance.
The article notes that while delayed retirement credits can increase benefits for people claiming on their own work record, spousal benefits behave differently. Spousal benefits are worth up to 50% of a spouse’s primary insurance amount, and filing before full retirement age results in a reduction.
It also states that waiting beyond full retirement age will not boost spousal benefits, because they cannot grow past the value available at full retirement age.
Yahoo Finance adds that delaying can reduce total retirement income, since Social Security typically pays up to six months of benefits retroactively, and waiting until age 70 could mean losing out on a substantial portion of that income.