Q & A
What is the best way to determine my wife’s Social Security benefit? I am 70 and drawing benefits and she is 56. We are both retired.
Answer: You can go online and retrieve her earnings record and then paste it into a software program that can calculate not just what she’ll collect if she starts collecting at a certain date, but also when it is best for…
I am a self-employed male, age 65. I have never earned much, usually less than $10,000 a year. However, my income is quite flexible; I could earn much more. If my Social Security is based on my best years of income, would it be worthwhile to earn more in these last years before I start to collect my benefits? I don’t intend to start until I’m 70 and I have a family history of longevity.
Answer: Very good question. The answer is a big yes! I just ran your case through my company’s Maximize My Social Security software. I assumed you earned $10,000 per year, in today’s dollars, from age 20 on, but that you would…
Can a spouse apply just for spousal benefits?
Full question: I am 60 and collecting $2,400 in Social Security disability. My husband is nine months older than I am and retired. I was the higher wage earner. We estimate his Social Security payments, based on his earnings, to be…
I will be 74 in May 2014 and took Social Security retirement at 66 in 2006. I was divorced from my spouse in August 2006 after 21 years of marriage. My current Social Security retirement benefit in 2014 is $755. My spouse’s benefit at the time was about $200 a month more. Can I fix this? I receive no income from his higher benefit and I may be eligible. At the time, I was told there was nothing more coming to me. Is it too late? Your previous columns have indicated what I have always thought — Social Security people often give out inaccurate and untimely information. You have shown the complexities of the Social Security law, which is very helpful.
Answer: I’d triple check that they actually know to whom you were married. Also, if your ex has now passed away, you will be eligible for a divorced widow’s benefit, not a divorced spousal benefit (which is lower). So check if…
If my wife is collecting a spousal benefit based on a former husband’s earnings (not her own), may I as a spouse, file for a spousal benefit on her account or would I have to wait until she is collecting based on her own earnings? We are both at full retirement age.
Answer: Well, gee, this is a good question since, if I have the facts right, it seems like your wife is illegally collecting a benefit on her former husband. Once you get remarried, you can no longer collect a divorced spousal…
Social Security death benefits for children?
Full question: My daughter was on Social Security Disability when she died in July. I have legal custody of her two children, who receive a monthly survivor benefit. I was told they’re also entitled to the $255 death benefit, but we…
How does the “five-year rule” apply to people over age 59 1/2?
Full question: I converted my company 401K to a Roth 401K in 2012. I am 68 and since I own more than 5% of my company I understand I will have to take the RMD when I reach 70 1/2…
How is the spousal benefit calculated?
Full question: I plan to wait until I am 70 to collect Social Security. My wife is seven years younger and plans to collect the spousal benefit at 66, then take her Social Security benefit at 70. When she takes the…
What are the strategies for consolidating deferred comp. plans at the point of RMD?
Full question: I’m 70 and still working. I’ll be 70 1/2 this year and have IRAs and old 401k at previous employers. Is it too late to roll these retirement accounts to my current 401k to avoid RMD for this…
Another question on spousal benefit options and implications
Full question: I turned 63 last month and am receiving Social Security Disability benefits of $2,200 monthly. My wife is 73 and receives $1,000 Social Security monthly which covers all our expenses. My wife is in excellent health. My doctor gives…