Hi. I am 65, turning 66 in October. My wife is 65, turning 66 in May of 2021. My SS benefits will be the maximum. Her SS benefits will be minimal. I plan to wait until 70 to collect since I can't get 8% anywhere else. 1. If I file at 70 and then she files at 70, will her benefits be based on 50% of my benefits or her own history, which will be minimal? 2. Is there a different strategy to maximize benefits e.g. have her file before me, collect whatever benefits she can until 70 and then when she is 70, her benefits go up to 50% of mine? Thank you.

Hi,

If you and your wife both file at age 70, your benefit rate would be 32% higher than your primary insurance amount (PIA) due to delayed retirement credits (DRC). However, your wife couldn't be paid any more than the higher of her own benefit rate or 50% of your PIA, so it wouldn't be advantageous for your wife to wait until age 70 to file for benefits unless her own benefit rate with DRCs would exceed 50% of your PIA. By the way, a person's PIA is equal to their Social Security retirement benefit rate if they start drawing at full retirement age (FRA).

If your wife's own benefit rate would be less than 50% of your PIA even if she waited until age 70 to file, she wouldn't want to wait past her FRA to claim her own benefits. She could then apply for additional spousal benefits from your record when you start drawing your benefits.

It would still likely be a good plan for you to wait until age 70 to file for your benefits because that would not only provide you with your highest possible monthly benefit rate, it would also provide your wife with her highest possible survivor rate if you die before her. A widow can be paid up to 100% of her deceased spouse's benefit rate, inclusive of any DRCs that the deceased spouse earned by waiting past FRA to claim their benefits.

You and your wife should strongly consider using our software (https://maximizemysocialsecurity.com/purchase) to analyze all of your various options so that you can determine the best strategy to maximize your benefits.

Best, Jerry