I am 62, recently retired, and plan on waiting until I'm 70 to claim my SS benefits. My wife is 61, also retired, and will turn 62 next April. Her spousal benefits (~1700) will be more than her own SS benefits (~1000). Does it make sense for her to wait until her FRA to file for her SS benefits? If she files at 62, her own benefits are reduced to ~800. If I file and suspend at 66, will she then receive the 1700 or a lesser amount?

Hi,

First off, I think you may be overestimating how much your wife will receive in spousal benefits. She will be eligible for 50% of your full retirement age benefit amount (PIA), not 50% of your age 70 benefit. The maximum PIA for someone reaching full retirement age (FRA) in 2016 is $2639, so their spouse could receive up to about $1319. These maximum amounts will likely increase as time goes on, but probably very gradually.

Your best strategy may depend on when you reached age 62. If it was before January 2nd 2016, you would have the option of filing for spousal benefits only at FRA, then switching to your own record at age 70. Your wife would need to be receiving benefits on her record in order for you to receive a spousal benefit, though. And, if you turned 62 on January 2nd 2016 or later, that's not an option for you anyway, thanks to the new law on deeming passed by Congress last year (https://www.ssa.gov/planners/retire/deemedfaq.html).

If your wife's own benefit amount would be less than 50% of your PIA even if she waits until age 70 to apply, she should probably file on her own record when she reaches FRA, and for an excess spousal benefit when you start drawing your benefits. She won't be able to receive a spousal benefit if you file and suspend your benefits, thanks to another provision in the new law that Congress passed (https://www.ssa.gov/planners/retire/suspendfaq.html).

You may want to consider running the maximization software available on this website in order to determine the best possible filing options for you and your wife.

Best, Jerry