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Conversationalist

Re: Are You Savvy About Social Security?

29,764 Views
Message 51 of 59

Drawpoker, my husband wants to work until 70, but as we all know, stuff happens. No one knows. What is that saying--"humans make plans and God laughs." But, I guess the advantage of file/suspend is that if my husband needs to punt before 70, he can pick up his benefits at any time between 66 and 70 without losing any money. That's what I understand anyway.

 

We've had a lot of financial reversals over the years, plus putting kids through college, and have very little set aside for retirement. Have equity in our home and not much else. So, we have to make the most of our benefits AND continue to work. I actually filed for benefits a few months ago (was out of work), so I'm debating whether to return the money and wait until 66, because I'll be making way over the low allotment. It's so confusing what to do and if you call Social Security, you get different answers depending on who you talk to! Appreciate your advice. How is it you know so much about the benefits?

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Valued Social Butterfly

Re: Are You Savvy About Social Security?

30,006 Views
Message 52 of 59

Yes,  as you have outlined the plan.  As long as your waits to file at his full retirement age,  then suspends,  that automatically makes you eligible for the spousal benefit (one half of his). 

Then,  by his suspending and waiting until he is 70,  he should get an additional 8 % when he does begin collecting his checks. 

 

The only catch to this is that a couple has enough income coming in from other sources to support themselves while waiting for the husband to start collecting not just fulll but actually increased benefit at age 70,  meanwhile the wife is collecting only one half of his amount in her check.  

 

The ideal way this file and suspend works is for hubby to continue working right up to age 70  -  is that a possibility?

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Conversationalist

Re: Are You Savvy About Social Security?

30,017 Views
Message 53 of 59

Thanks, drawpoker. The break even for me is 78 and although I'm healthy now at 62 (thank God), both my parents died at ages 63 and 71. So, I'm hedging my bet.

 

I also used the AARP calculator and here's the recommendation: both my husband and I file at 66--I for spousal and he file/suspend; then at 70, he files for benefits and I file on my own benefits. That way I'm getting 100% of PIA. Correct?

 

What I don't want to have happen is being penalized for earnings between 62 and 66. If I have no income and my husband does, do they still penalize me for being ovr the allotted amount?

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Valued Social Butterfly

Re: Are You Savvy About Social Security?

30,031 Views
Message 54 of 59

Sure you can!     But why would you?   

 

The benefit you get at 70 will not be your FULL benefit.  By starting your own benefit at age 62,  that's it,  honey,  you locked in for reduced benefit amount for rest of your life.  You can't come back 8 years later and say  "gimmmeeee More.....changed my mind ......don't want the 25% reduced amount I took.... 

Sorry.   That's the way the cookie crumbles.  

 

Only way you could get more would be if you continued to work full-time at a good salary and added another 5 years of high earnings under your belt.  (This would be while drawing the spousal benefit on your husband  one half of his.  Which would mean you likely would have to give back most of that check as you would be over the earnings limit for folks under 65) But,  continuing to work that way might increase your monthly check later,   as SS would be required to factor in the last 5 years of your earnings.    But it would not bump you up to what you want,  100% of your PIA  (primary insurance amount) 

 

Only way you are going to get a check that is 100% of PIA is when your husband dies.   Then,  the one-half you were getting goes bye-bye,  and you start getting the full amount of his check.   

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Conversationalist

Re: Are You Savvy About Social Security?

32,085 Views
Message 55 of 59

I have a question about double-dipping strategies. Is it possible for me the take benefits at 62, then switch to my husband's/spousal benefits at 66, then go back to my benefits at 70?

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Info Seeker

Re: Are You Savvy About Social Security?

34,332 Views
Message 56 of 59
Yes
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Valued Social Butterfly

Re: Are You Savvy About Social Security?

33,426 Views
Message 57 of 59
drawpoker, I'd give you more than (1) kudo if I could.
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Valued Social Butterfly

Re: Are You Savvy About Social Security?

33,485 Views
Message 58 of 59

Aren't you forgetting the many widows who are drawing spousal benefits on their husband's accounts?

 

For those beneficiaries,   the date of payment goes by HIS birthday,   not her's.  Or HER birthday,  as it is  Same thing for a widower drawing on late wife.     

 

Just F.Y.I.  so the millions who will be drawing benefits  not on their own soc sec. earnings record are not confused about which date will be used.    

 

Also,  did you know that for low-income beneficiaries whose Part B premiums are picked up by Medicaid,  that they automatically get bumped into the class who get checks on the 3rd of each month,   regardless of birthday?

 

Also,  besides anyone drawing SSI as you cited,  1) anyone drawing railroad retirement,  2)  or has moved outside the U.S.  or 3) has payments garnished 

 

All these classes also get checks on the 3rd of every month,  regardless of birthday

 

Seems like you are the one who is not too savvy here.       

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Community Manager

Are You Savvy About Social Security?

33,487 Views
Message 59 of 59

Is this statement True or False? "Your birth date affects when your monthly Social Security benefits are paid."

 

...the answer is True. If your birthday falls between the first and 10th of the month, you will be paid on the second Wednesday of the month. People with birthdays that fall between the 11th and 20th will get paid on the third Wednesday of the month, and those with birthdays between the 21st and 31st will get paid on the fourth Wednesday. This does not apply to Supplemental Security Income (SSI) benefit payments.

 

Find out how savvy you are about Social Security by taking our quiz. Let us know how you did!

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