Social Security Claiming for Divorced Spouses

Are you wondering about how social security is affected by divorce?  Typically, this is not addressed in marital settlement agreements with the exception of when one of the spouses is a public employee entitled to a defined benefit pension and the other is a non-government employee paying into Social Security.

 Ex-spouses who were married for a minimum of 10 years and still single may be eligible for benefits on former spouse’s record.  And, when a divorced spouse receives Social Security on a former spouse, it does not affect the payout for the former spouse.  The following criteria must be met to qualify for Social Security Spousal benefits on an ex-spouse’s records:

 ·      Marriage of 10 years or longer

·      Entitled to Social security retirement or disability benefits

·      Currently unmarried

·      Age 62 or older

·      Benefit that the divorced spouse would have received on h/her own record is less than the benefit s/he’d receive based on ex-spouse’s record (divorced spouse receives up to 50% of spouse’s benefit).

There is also a silver lining for divorced spouses. Unlike married spouses who must wait to collect the spousal benefit until their spouse retires or claims their retirement benefit, divorced spouses may collect sooner. You may collect on your ex-spouse’s benefit once your ex-spouse reaches age 62 regardless if that spouse is collecting benefits themselves at that time.). The divorced spouse benefit is unlocked at 62 not when the spouse starts collecting. 

 Of course, it is typically beneficial to delay receiving your own Social Security benefits as long as possible until age 70 because of the generous annual increase in the amount that will be received when delayed. The annual increase does not apply to ex-spouse’s benefits. The maximum you will receive based on your ex’s work history is whatever the value is of that benefit is if you wait until your full retirement age to claim. When you submit your claim, you are submitting a claim for BOTH your and your ex’s benefits. This means they will evaluate whichever amount is greater and you will receive the higher amount. It also means that you cannot expect to accrue higher amounts on your own benefit at age 70 if you decide to switch to claiming on your own work history. If you were born after 1954, all accruals stop at the time you make a claim for either your Social Security or your ex-spouses’ Social Security. You can check your own Social Security Statement/Retirement Estimator at Social Security Statement/Retirement Estimator. Full retirement age for most people nearing retirement is 67.

  It is important to review financial needs and income sources closely before leaping to claim Social Security to ensure optimal financial security during retirement.

 And what if the ex-spouse is deceased? There are Social Security Survivor Benefits for ex-spouses. 

 If married at least 10 years, you may collect survivor benefits up to 100% of the ex-spouse’s benefit amount (not 50% as provided for spousal benefits).  Furthermore, the divorced spouse may claim Survivor Benefits even if s/he is remarried, as long as the married took place at age 60 or later.  And if you’re eligible for both your own retirement benefit and a survivor benefit based on a deceased spouse’s or deceased ex-spouse’s earning history, you may be able to apply for one type of benefit first and switch to the other later. See Survivor Benefit Planning.

This article does NOT constitute legal advice and is for general information purposes ONLY. Prior to making any decisions, seek legal counsel from a licensed attorney.