Hey there! I’ve been deep diving into Social Security strategies lately (mostly because my wife and I are approaching that age where we need to make some serious decisions). The question of when my wife should claim her benefits has been keeping me up at night, and I’m guessing you might be wrestling with the same dilemma.
Let me share what I’ve learned about this tricky decision that could impact thousands of dollars of retirement income for you and your spouse.
The Big Question: Early Bird or Patient Planner?
You want to know if your wife should start getting Social Security early. There isn’t a simple yes or no answer; it depends on a number of factors that are unique to your case. But understanding the basics is step one.
That being said, “early” means at any time between 62 (the earliest age) and her full retirement age (FRA), which varies based on her birth year and is between 66 and 67.
What Happens When Your Wife Claims Early?
Should your wife choose to claim at age 62 instead of waiting until she turns 70, here are some things you should know:
- Her monthly benefit will be permanently reduced – possibly by as much as 25-30%
- This reduction stays in effect for her entire life
- The reduction is calculated at approximately 5/9 of 1% for each month before FRA (up to 36 months) and 5/12 of 1% for each additional month
- Once she starts receiving benefits, the decision is mostly permanent (with some exceptions I’ll mention later)
Spousal Benefits: A Key Consideration
This is where things get interesting! If your wife’s own benefit would be less than what she’d receive as your spouse, the spousal benefit could be the better option.
Here’s what you need to know about spousal benefits
- A spouse can receive up to 50% of the other spouse’s primary insurance amount (PIA)
- To get the full 50%, the claiming spouse must wait until their own full retirement age
- If your wife claims spousal benefits early, they’ll be permanently reduced
- For her to claim spousal benefits, you (as the higher earner) must have already filed for your own benefits
Your wife could get up to $1,000 a month in spousal benefits if she waits until her FRA to claim them, if your PIA at full retirement age is $2,000.
The “Split Strategy” That Many Couples Use
One approach that’s popular with married couples is what Vanguard calls the “split strategy” Here’s how it typically works
- The lower-earning spouse (often the wife, but not always) claims first, based on their own earnings record
- The higher-earning spouse delays claiming as long as possible (ideally until age 70)
- When the higher earner begins collecting, the lower earner may switch to spousal benefits if they’re higher
Let me give you a real example: Sharon and Ken are married. At full retirement age (67), Ken’s primary insurance amount is $2,100 monthly, while Sharon’s is only $975.
They decide Sharon will claim at 67 and receive $975 monthly. Ken waits until 70, and his benefit grows to $2,715 monthly. When Ken applies, Sharon switches to spousal benefits worth $1,050 (half of Ken’s PIA of $2,100). Plus, if Ken dies first, Sharon would receive his full benefit as a survivor.
When Early Claiming MIGHT Make Sense for Your Wife
Despite the permanent reduction, there are legitimate reasons why your wife might consider claiming early:
- Health concerns: If she has serious health issues or a family history suggesting a shorter lifespan
- Financial necessity: If you desperately need the income now
- Strategy: In some cases, claiming early fits into a broader financial plan
- Caregiving: If she’s caring for a qualifying child (under 16 or disabled), the spousal benefit isn’t reduced
When Waiting is Probably Better
On the flip side, waiting often makes mathematical sense:
- Longevity: If she expects to live beyond her early 80s
- Higher earner: If she’s the higher earner in your marriage
- Still working: If she’s still earning good income (benefits may be reduced if claimed before FRA while working)
- Survivor benefits: To maximize what you’d receive if she passes away first
What If You Change Your Mind?
If your wife claims early and regrets it, there are limited options:
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The “reset” rule: Within 12 months of starting benefits, she can withdraw her application and pay back ALL benefits received. This essentially resets the clock.
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Voluntary suspension: If she started before FRA, she could suspend benefits at FRA and restart them later. They’ll grow by 8% annually while suspended until age 70.
An Example to Consider
Let’s make this real with a case study:
David and Linda are married. David’s PIA at full retirement age is $1,600; Linda’s is $1,450. They both have an FRA of 67.
If they both wait just one extra year until 68, David’s monthly benefit increases by $128 (to $1,728) while Linda’s increases by $116 (to $1,566).
That $12 monthly difference might seem small, but it’s an extra $144 yearly, or $2,880 over 20 years! Plus, whoever lives longer will continue getting the higher payment.
Getting Started: What You Should Do First
Before making any decisions:
- Visit the Social Security Administration website (ssa.gov) to get benefit estimates for both you and your wife
- Compare your estimates and identify who’s the higher earner
- Consider your financial needs, health status, and retirement timeline
- Think about how long you both might live (family history can be a clue)
- Consider consulting with a financial advisor who specializes in retirement planning
Special Situation: Divorced Spouses
If your wife was previously married for at least 10 years before divorcing, she might be eligible for benefits based on her ex-spouse’s earnings record. These benefits wouldn’t affect the ex-spouse’s payments.
This is a separate topic, but worth mentioning if it applies to your situation.
My Personal Take
I’m not gonna lie – when my wife and I first started looking at this, I was tempted to tell her “just take it early and let’s enjoy the money!” But after crunching the numbers, we realized that waiting would give us thousands more dollars over our lifetime.
Every situation is different though. If your wife has health problems or you guys really need the income now, taking it early might be the right choice.
Documents You’ll Need When Applying
When your wife is ready to apply, she’ll likely need:
- Her Social Security card
- Birth certificate
- Marriage certificate
- Recent W-2 forms or self-employment tax returns
- Proof of citizenship if not born in the US
Factors That Could Reduce Her Payments
Be aware that these factors could affect her benefit amount:
- Working while collecting (before FRA)
- Federal and state taxes
- Medicare premiums
- Government pension offset
The Bottom Line
Should your wife take Social Security early? Here’s my cheat sheet:
Consider early filing if:
- She has serious health concerns
- You need the money now
- She’s caring for a qualifying child
- You’ve run the numbers and it fits your overall plan
Consider waiting if:
- She’s likely to live a long life
- She’s the higher earner in your marriage
- You can afford to delay
- You want to maximize survivor benefits
The difference between claiming at 62 versus waiting until 70 can be tens or even hundreds of thousands of dollars over your lifetimes. This isn’t a decision to take lightly!
Have you and your wife started discussing when to claim Social Security? What factors are most important in your decision? I’d love to hear about your situation in the comments!
Useful Resources
- Social Security Administration: ssa.gov
- Vanguard’s Social Security strategies for married couples
- Benefits calculator: ssa.gov/oact/quickcalc/spouse.html
- Retirement calculators from trusted financial institutions
Remember: this decision isn’t just about math – it’s about your lifestyle, needs, and plans for the future. What works for my family might not work for yours, and that’s perfectly fine!
Disclaimer: I’m sharing what I’ve learned from my research, but I’m not a financial advisor. Consider speaking with a qualified professional before making significant retirement decisions.
When Should a Married Couple Claim Social Security? 1 Crucial Factor to Consider!
FAQ
Can my wife take Social Security at 62 and then switch to spousal benefit?
Your wife can start getting her own Social Security at age 62 and then switch to a bigger spousal benefit later, as long as she is eligible for it (e.g., she meets the requirements for the larger benefit). g. , she was married for at least a year, her spouse is receiving their benefit, and her spouse is not deceased). She will receive her own reduced benefit initially, and when she switches, Social Security will pay the greater of the two benefits (her own or the spousal amount).
What does Suze Orman say about taking Social Security at 62?
Suze Orman strongly advises against taking Social Security at age 62, calling it a “costly cut” that permanently reduces your monthly benefit by up to 30% for life.
Should one spouse take Social Security early?
The spousal benefit is up to 50 percent of the earner’s benefit. The actual percentage depends on when you both file; if you both wait until FRA or later, you collect a higher benefit. For example, if a husband files early at age 62, his benefit would be reduced by 25 percent.
What is the best Social Security strategy for married couples?
4 spousal strategies to maximize Social SecurityThe lower-earning spouse first claims their benefits and later switches to spousal benefits. Both spouses claim Social Security benefits at age 70. The higher-earning spouse waits to claim Social Security benefits.
Does claiming social security early affect spousal benefits?
Claiming Social Security early can impact your spousal benefits. Here’s how If you file before full retirement age, you are automatically deemed applying for spousal benefits as well, as long as your husband or wife already is receiving Social Security.
When should a married couple claim Social Security retirement benefits?
For married couples, deciding when to claim Social Security retirement benefits is a more involved decision. “Spousal benefits are payable to the spouse of a retired worker and are generally up to 50% of the worker’s primary insurance amount when the spouse reaches full retirement age,” Birkett-Brunkhorst said.
Should I start my wife first with social security?
In this case, the husband’s Social Security benefits are often higher. In that scenario, it can make sense to start the wife first with Social Security and delay the husband’s benefits to protect the wife should her husband pass away first. Delaying Social Security also mitigates the risk of outliving your money.
Should spousal Social Security benefits be part of your retirement plan?
If you’re married or have ever been married, it’s worth considering whether spousal Social Security benefits should be part of your retirement plan. When a worker applies for Social Security retirement benefits, their spouse may also be able to get benefits based on how much the worker made. Here’s how that works:
Does Tapping social security early hurt spousal benefits?
If the amount is more than your monthly payments, you’d get the higher amount. If you’re married, it’s worth considering how tapping Social Security early (before your full retirement age) could hurt your spousal benefits.
Can a spouse claim Social Security spousal benefits?
Social Security spousal benefits allow spouses to claim benefits based on their partner’s earnings record. Eligibility for spousal benefits typically requires the spouse seeking benefits to be at least 62 years old. People who are married can get up to 100% of their partner’s Social Security benefit if they wait until they reach full retirement age.