skipro33
Thinks s/he gets paid by the post
Hi all and thanks for all the past help. I've a new question. Actually, I just want to be sure I understand SS rules as they apply to my and DW's situation. So, here goes;
I am turning 62 in October of this year, 2018. DW will be 62 in February of next year, 2019. I've paid max SS for over the past 30 years, probably more. DW has only worked part time occasionally and has very little in SS. I WAS planning to take SS at 62, earliest possible time, then delaying DW's SS until her FRA. My understanding is that DW will get 50% of what my FRA would have been if I had delayed taking my SS until FRA. In my case, I'll get just over $2,000 a month at age 62, then when DW is 66 and 4 months, she'll get 50% of my FRA ($2,755) which will be $1,377.
However, reading on SS website, There may be a way to capture more SS. The site says that my DW could claim her own, much smaller SS at 62 and then bump up to 50% of my FRA when she reaches her FRA. SS calculates the original early SS and then supplements that to make up the difference to 50% of my FRA. However, reading further, SS states that this won't work if I take SS first at age 62 because of a 'deeming' provision. Deeming refers to SS deeming that DW is taking the highest benefit she is eligible for. If I'm already taking SS, then SS deems DW will be taking the highest she's available for if she applies at 62 herself, a few months later.
What I am thinking is; If I hold off my early SS until after she starts taking her own SS at her earliest date of 62, and then shortly after I start taking my early SS, (age 62 plus 5 months after DW has already started her SS), then she can draw on her SS benefits at age 62 then bump up to 50% of my FRA SS when she reaches FRA.
The difference between my first scenario and my revised scenario is
1. I take SS at 62 and DW takes SS at FRA with 50% of my FRA.
2. I delay SS until 62 +5 months, when DW starts her own SS at 62, taking in about $600 a month until she reaches FRA and can step up to 50% of my FRA.
The difference between her bringing in $600 a month for 52 months (difference between age 62 and her FRA) and my delaying my own early SS by 5 months is about $20,000 over our lifetime, captured at the beginning of SS benefit draws.
Do I understand our options on when to take SS early correctly?
Thanks!
I am turning 62 in October of this year, 2018. DW will be 62 in February of next year, 2019. I've paid max SS for over the past 30 years, probably more. DW has only worked part time occasionally and has very little in SS. I WAS planning to take SS at 62, earliest possible time, then delaying DW's SS until her FRA. My understanding is that DW will get 50% of what my FRA would have been if I had delayed taking my SS until FRA. In my case, I'll get just over $2,000 a month at age 62, then when DW is 66 and 4 months, she'll get 50% of my FRA ($2,755) which will be $1,377.
However, reading on SS website, There may be a way to capture more SS. The site says that my DW could claim her own, much smaller SS at 62 and then bump up to 50% of my FRA when she reaches her FRA. SS calculates the original early SS and then supplements that to make up the difference to 50% of my FRA. However, reading further, SS states that this won't work if I take SS first at age 62 because of a 'deeming' provision. Deeming refers to SS deeming that DW is taking the highest benefit she is eligible for. If I'm already taking SS, then SS deems DW will be taking the highest she's available for if she applies at 62 herself, a few months later.
What I am thinking is; If I hold off my early SS until after she starts taking her own SS at her earliest date of 62, and then shortly after I start taking my early SS, (age 62 plus 5 months after DW has already started her SS), then she can draw on her SS benefits at age 62 then bump up to 50% of my FRA SS when she reaches FRA.
The difference between my first scenario and my revised scenario is
1. I take SS at 62 and DW takes SS at FRA with 50% of my FRA.
2. I delay SS until 62 +5 months, when DW starts her own SS at 62, taking in about $600 a month until she reaches FRA and can step up to 50% of my FRA.
The difference between her bringing in $600 a month for 52 months (difference between age 62 and her FRA) and my delaying my own early SS by 5 months is about $20,000 over our lifetime, captured at the beginning of SS benefit draws.
Do I understand our options on when to take SS early correctly?
Thanks!
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