In light of my recent email/video about how the Social Security Admin. is robbing widow(er)s over $131 million, I wanted to show you how to calculate your own Survivor Benefits. And how to strategize using Survivor Benefits to increase your benefits. Click here for the video.
Please understand, my friends, that SURVIVOR BENEFITS rules are completely different than SPOUSAL BENEFIT rules. So, when you hear people saying “the rules have changed” they are specifically referring to SPOUSAL BENEFITS.
SURVIVOR BENEFITS were not affected by the Obama changes in 2015.
So, a brief, simple example. Joe and Jane.
Joe’s benefit at his death was $2200 a month. Jane’s benefit at her Full Retirement Age is $2300 a month.
Jane goes to the SSA to tell them Joe died and to file for benefits. They proceed to tell her to take the benefit off her own record because it’s larger than her survivor benefit.
Jane should take her SURVIVOR benefit and allow her own benefit to earn Delayed Earnings Credits at 8% a year. Thus when Jane turns 70 she can then switch over to her own benefit which would be $3036 a month, for the rest of her life. And that’s before we adjust for inflation!
(The funny thing about COLA’s (cost of living adjustments) is that the gap between a larger benefit and smaller becomes wider every year. I’ll share with you in another email how this works. WAY overlooked by financial planners actually. But if you’re so inclined you can watch my video on this topic here. )
So, hopefully, I’ve been able to encourage you that you need to understand your Social Security benefits, at a minimum, SURVIVOR benefits.
If you want to discuss your situation, by all means contact me.