I'm 65 years old and newly divorced after 18 years of marriage. My ex is also 65, and my PIA is less than half of his. Do I need to wait two years until I'm eligible to apply for ex-spouse benefits? If I apply for benefits now, will I only receive benefits based on my own wage history? If so, then when I become eligible for the divorced spousal benefit in two years when I'm 67, will SSA automatically increase my benefit to 50% of my ex's PIA, or do I need to apply for that?

Hi. Yes, you couldn't qualify for divorced spousal benefits before your divorce has been final for at least 2 years, unless your ex-spouse dies or starts drawing his Social Security retirement or disability (SSDI) before then (https://www.ssa.gov/OP_Home/handbook/handbook.03/handbook-0311.html).

If you start drawing your own benefits before you reach full retirement age (FRA), your benefit rate will be reduced for age and that reduction will continue even if you subsequently become eligible for divorced spousal benefits. And, if you apply for your own benefits prior to becoming eligible for divorced spousal benefits, you'll need to file a separate application in order to become entitled to divorced spousal benefits.

Here's an example of how it would work. Let’s say Amy files for her own Social Security retirement benefits this year at age 65. Amy’s primary insurance amount (PIA) is $800, which is what she would receive if she starts drawing at FRA. However, Amy's monthly rate is reduced for age to $746 because she claimed her benefits at age 65. Amy is newly divorced and her ex-spouse, whose PIA is $2000, is waiting until age 70 to collect his Social Security benefits. Two years after Amy's divorce she applies for divorced spousal benefits. Amy's excess spousal benefit would then be calculated by subtracting her PIA from 50% of her husband's PIA, which in Amy's case amounts to $200 (i.e. $2000/2 - $800). Amy would then be paid her own reduced benefit of $746 plus her unreduced excess spousal amount of $200 for a combined benefit amount of $946.

It sounds like you should strongly consider using our software (https://maximizemysocialsecurity.com/purchase) to fully analyze all of your options so that you can determine your best strategy for maximizing your benefits.

Best, Jerry