Ask Liz Weston

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Social Security

Q&A: Three marriages, but only one Social Security benefit

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Dear Liz: I was married for 10 years before divorcing. My second marriage also ended in divorce. I married for the third time and was widowed. I am collecting a survivor benefit. Am I also entitled to receive a benefit from my first marriage of 10 years? My first husband is still living.

Answer: Social Security is basically “either/or,” not “and.” If you qualify for two benefits, you typically get the larger check — not both.

Since you are currently unmarried, your ex is still living and your first marriage lasted 10 years, you may be eligible for a divorced spousal benefit. That can be up to 50% of your first husband’s benefit at his full retirement age.

You would only receive that benefit, however, if it were larger than the survivor benefit you’re currently receiving. Survivor benefits are up to 100% of the late worker’s check, so your first divorced spousal benefit would have to be substantially larger than what your late husband received to make a switch. You can call Social Security at (800) 772-1213 to inquire.

Q&A: That Social Security check is in the mail. Or will be someday.

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Dear Liz: I was previously denied a portion of my husband’s Social Security because I received a government pension, and the offset rule made me ineligible. Now that the law is being changed, I’m wondering if I would be eligible to receive survivor benefits from Social Security, as my husband is now deceased.

Answer: The Social Security Fairness Act, which did away with the windfall elimination provision and the government pension offset, was signed into law Jan. 5. These two provisions affected people who earned pensions from government jobs that didn’t pay into Social Security.

Social Security says that no action is needed if you have previously filed for benefits that were partially or completely offset, but that you should make sure the agency has your current address and direct deposit information. You can do that by creating or updating a mySocialSecurity account at www.ssa.gov/myaccount. People receiving government pensions who haven’t applied for Social Security can do so at www.ssa.gov/apply.

Social Security is still working on implementing this major change, but you can look for updates at www.ssa.gov/benefits/retirement/social-security-fairness-act.html.

Q&A: Don’t confuse Social Security’s spousal and survivor benefits

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Dear Liz: I waited until 70 to start taking Social Security. My wife, who is the lower earner, took a spousal benefit at her full retirement age. I know she is entitled to my benefit when I pass. However, I understand she does not get my current benefit but the amount I would have received if I had started Social Security at my full retirement age. How do I find that amount?

Answer: You don’t need to. Your wife’s current spousal benefit was based on the amount you would have received at full retirement age. Her survivor benefit — the one she would get if you die first — will be 100% of your current benefit. Because you waited and maximized your own benefit, you also maximized the survivor benefit she may have to live on in the years to come.

Many people confuse the rules for spousal and survivor benefits. Even though they’re based on the same thing — the earnings record of the higher or “primary” earner, which is you — they have different rules for how they’re calculated.

Q&A: Taking half your spouse’s Social Security payment can be better than taking your own.

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Dear Liz: My bookkeeper cousin told me I could get half my husband’s Social Security instead of my own. I took Social Security at 66, when my benefit was $1,300. My husband waited until 70, when his was $3,295. Does that mean I could be getting a monthly check for $1,600?

Answer: Probably not. Spousal benefits can be up to 50% of the benefit your husband had earned as of his full retirement age, not the amount he claimed at age 70. You can check with Social Security, but your own benefit is likely more than your spousal benefit would have been.

Q&A: Is it only the bread winners who get Social Security?

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Dear Liz: How is it that elderly people who have never contributed to Social Security can collect a check? My wife’s grandmother was getting more than $1,000 a month.

Answer: Spousal and survivor benefits are nearly as old as the Social Security program itself.

Social Security was signed into law in 1935. Initially, benefits were only for retired workers. In 1939, benefits were added for wives, widows and dependent children. Later changes added spousal and survivor benefits for men as well as disability benefits.

Social Security isn’t a retirement fund where workers deposit funds into individual accounts. Instead, it’s a social insurance program designed to provide income to retirees, workers who become disabled and the families of workers who die. Benefits are paid using taxes collected from current workers. Like other insurance, the system is designed to protect people against significant economic risks, such as outliving your savings, losing your ability to earn income or losing a breadwinner.

In other words, your wife’s grandmother may not have paid into the system, but her spouse or ex-spouse did, and that provided her with a small source of income.

Which Social Security benefit? It depends.

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Dear Liz: I am 61 and retired. My husband recently died at age 61 and he was still working at the time of his death. He’s always made more money than I did. I’ve been told that I can start getting Social Security after I turn 62 and when I turn 67 I can apply for survivor benefits. Is this correct?

Answer: You can start survivor benefits as early as age 60 and retirement benefits as early as age 62. Most people should delay their applications for Social Security benefits, because an early start typically means a smaller lifetime payout. You’re one of the exceptions since you’re allowed to switch between survivor benefits and your own.

Because the survivor benefit is much larger than your own, you’ll want to maximize your payout by not taking it early. That means waiting to start until your full retirement age. You can start your own benefit at 62 and switch to survivor benefits at 67.

An early start means being subject to the earnings test until full retirement age. If you’re not working, though, that’s a moot point.

Social Security is complicated and the right claiming strategy depends on the details of an individual’s situation. Consider using one of the paid Social Security claiming strategy sites, such as Maximize My Social Security or Social Security Solutions, to find the best approach.