Spousal Benefits - Did You Know? - Free Money - Maybe

[Leehound]

I wanted to share this because most people don't know about "Spousal Benefits" and how it could bump up what you or your spouse collect for Social Security.

In a nutshell, a spouse is eligible to collect at least "halve" in social security payments as the higher earner. In my case, my wife is already collecting a social security payment that is 3rd of what I will be collecting at full retirement in two years. When I start recieving SS, we will apply for "Spousal Benefits" and she will get a nice bump in her payments.

My sister and brother-law had never heard about this, before I told them. And now she will get an extra $3500 per year. I never knew about this until I came accross a youtube video. Uncle Sam will not offer this, you have to ask for it.

Don't leave money on the table!

[Jim at Gentex]

Yup.
We are on it.

I am retiring in March @ 63 1/2, and my wife turns 62 in February, so she can apply for the Spousal Benefit then.

One thing I found out is that the spouse with the higher earnings has to already be collecting their Social Security benefits before the spouse with the lower earnings can apply for the Spousal Benefit.

It works out to about $3600 more per year for my wife too, so that's a nice chunk of change that many people don't even know they may be entitled to.   

edit:
I found it when I was doing my application for benefits online.
One question on the application form asks: "Is this a Spousal Benefit?"
If you click on the little question mark, it pops open another window that explains what it is.