My wife turns 66 in Jan 2017. I'm 66 in August 2017. Her spousal benefit is much (2X) larger than her normal benefit. If she takes her benefit I January, can she switch to spousal in August, or does she lose that right?

Hi,

Yes, she could do that. She wouldn't actually switch to a spousal benefit when you file, though. Instead, she would then receive an excess spousal benefit in addition to her own. If you follow this strategy, you will receive your full retirement age benefit, and your wife will end up with a total benefit equal to half of yours.

However, there are alternate filing strategies that you should consider. For example, your wife could file for her benefit at age 66, then you could apply for spousal benefits only effective with August 2017. You could then switch to your own account at age 70, and your wife could file for her excess spousal benefit at that time. By following this strategy, your benefit amount will be 32% higher than if you start it at age 66, and that increased benefit would carry over to your wife's widow's benefit if you die first.

You may wish to consider running the maximization software available on this website. It should help you determine which filing strategy is best for you and your wife.

Best, Jerry