I am 65 and my wife is 64. She began receiving Social Security benefits at age 62 based upon her own earnings record. Here are my Questions: 1) May I, after we have both reached age 66, apply for spousal benefits based upon her earnings record while delaying filing based upon my own earnings record until age 70? 2) May she then file for spousal benefit when I (at age 70) file for benefits based upon my own earnings record? 3) Would she then receive fully 1/2 of my benefit, or only 3/4 of 1/2 of that amount (due to her having filed on her own earnings record at age 62)?4) What would be the maximum allowable benefit that I could receive (providing that my earnings record qualified) at age 70? (I have heard varying figures.)Thank you!
AARP and Social Security websites.
I realize you have a question about social security. My goal is to help you better understand your options.Thank you for your question! I would love to assist you today. Let's go through your issues one at a time1) Yes, you can apply for a spousal benefit based on your wife's earnings record and delay receipt of your own benefit until age 70. 2) Yes, your wife can switch from her own benefit to her spousal benefit, which would still be a reduced amount. Here's an example to answer question 3. 3) Let’s say the wife’s Primary Insurance Amount (PIA) is $1,000. She files for her own benefit at 62 and receives a reduced retirement benefit of $750. Her husband has a PIA of $2500. She is eligible to receive one-half of his PIA at her full retirement age. $2500 (his PIA); divided by two, that equals $1,250 (This is the full spouse’s rate). We will subtract the $1250 (the full spouse’s rate) – $1000 (her PIA)= $250.Social Security will add that $250 to her reduced retirement benefit amount of $750 and her new benefit amount at full retirement age will be $1,000, which is less than the full spouse’s rate, but still more than she was receiving in the past.So, it's not a percentage formula. I'm sure you could drop in your amounts into that example and calculate what your wife will get upon retirement. 4) The maximum benefit right now paid for someone at full retirement age is $2,513. SOURCE If you retire at age 70, your benefit will increase by 8% each year you delay your retirement. SOURCE Four years of 8% increase is 32% increase. Therefore, the maximum benefit, provided your earnings record supports such figures, is $3,317 (2,513 x 1.32)I hope this answers your questions. I have provided links to the maximum social security rates. Thanks again for using Just Answer, and hit "Reply" or "Continue Conversation" if you need further clarifications. If this helped, then rate my service as "excellent" so that I can be compensated for assisting you today. Otherwise, click "reply" or "continue conversation" for continued dialog with me.VERY IMPORTANT - IF you are having DIFFICULTY RATING, please let me know IMMEDIATELY. If you don't rate my response, I don't get paid even though your deposit is retained by the site. Thanks for your cooperation in this matter.
Tennessee CPA with a Masters of Accountancy from Ole Miss