Hi Larry
I am going to retire after I turn 64 which will be next year. My Social Security at full retirement age is about 2700.00 a mouth and I plan on waiting till full retirement before filing for my Social Security. My wife will turn 62 in July of next year she has qualified for Social Security but at a much smaller amount than me. When she reaches her full retirement, age she will get about 1000.00 a mouth. My question is should she start drawing her benefit at 62 which would be 700 something and then when she reaches her full retirement age change to draw her spousal benefits on my retirement benefit. The other issues are if she takes her retirement at 62 will it affect her survivors benefit if I were to die.

Thanks John

Hi John,

What you're proposing isn't a valid option. If your wife files for her retirement benefits at age 62 she'll also be deemed to be filing for spousal benefits as well. Your wife wouldn't be eligible for spousal benefit until you start drawing your benefits, but if she files on her own account she'll be forced to start drawing her excess spousal benefits as soon as you file for your benefits. What that could mean is that both her own retirement benefits and her excess spousal benefits would then be reduced for age.

For example, say Nan files for her benefits at age 62. Nan's full retirement age rate (PIA) is $1000, but she receives a reduced rate of $729 in return for starting her benefits early. When Nan turns age 63, her husband starts drawing his benefits. Nan is then required to file for excess spousal benefits if she qualifies, since her application for retirement benefits is also deemed to be an application for spousal benefits. Nan's husband's PIA is $2700, so Nan's unreduced excess spousal rate would be $350, or 50% of her husband's PIA minus her own PIA (i.e. $2700/2 - $1000). However, Nan's excess spousal rate would be reduced to $253 because she became entitled at age 63. That reduced amount would then be paid in addition to Nan's reduced retirement rate, giving her a combined benefit rate of $982 (i.e. $729 + $253).

Regardless of when your wife starts drawing her retirement benefits and spousal benefits, she could still receive an unreduced survivor benefit rate equal to your full benefit rate if she doesn't start drawing survivor benefits prior to her full retirement age (FRA). And, if you waited until age 70 to start drawing your benefits, your wife could then be paid your full age 70 rate as a widow. She wouldn't receive both her own retirement benefits and your benefit rate in the event of your death, though, just the higher of the two.

Before either of you decide when to file, you and your wife should strongly consider using our maximization software to fully compare all of your options in order to determine your best overall strategy for claiming benefits.

Best, Jerry