Retirement

Dear Liz: I need a clarification because I’m getting conflicting answers from Social Security.

I know if you start Social Security benefits early, you get them at a reduced rate. When your spouse dies, is your survivor benefit reduced as well? My friend’s mother never worked, but started collecting spousal benefits at 62. Does she get reduced or full benefit when her husband dies?

Answer: Her survivor’s benefit is not reduced because she started spousal benefits early. It may be reduced, however, if her husband started retirement benefits early or if she starts survivor’s benefits before her own full retirement age.

Survivor’s checks are based on what the husband either was receiving or had earned. If the husband starts retirement benefits before his own full retirement age (currently 66), his checks are reduced, which also reduces what his widow could receive as a survivor.

If he delays retirement past 66, he earns 8% annual “delayed retirement credits” — an increase both would get.

If he dies before full retirement age without starting benefits, the survivor benefit would be based on what he would have received at full retirement age. If he dies after full retirement age without starting benefits, the survivor check is based on the larger amount he had earned (in other words, his benefit at full retirement age, plus any delayed retirement credits).

How much of the husband’s benefit his widow would get depends on when she starts claiming her survivor’s benefit.

If she starts at the earliest possible age of 60 (or 50 if she’s disabled, or any age if there are children under 16), her survivor’s benefit will be reduced to reflect the early start.

If she waits until her full retirement age, by contrast, the survivor’s benefit would be equal to what her husband was receiving or had earned. Waiting to start survivor benefits until after her full retirement age doesn’t increase her check, however.