Divorce later in life may impact any Social Security benefits to which you may be otherwise entitled. As a result, it is important to seek experienced legal guidance to evaluate the unique ins and outs of your situation proactively. A failure to do so may leave you grappling with a degree of financial distress that you might have been able to avoid, had you acted in your own interests when the time was right.
For many couples approaching or already in retirement, these benefits represent a significant source of income. When a marriage ends, questions often arise about who is entitled to what and how divorce will affect future payments. The answers to questions like these are dependent upon the unique circumstances of each couple.
The basics of Social Security retirement after divorce
In many cases, a divorced person may still be eligible to receive benefits based on their former spouse’s work record. The Social Security Administration allows this if a marriage lasted at least ten years, the person seeking benefits is unmarried and they are age sixty-two or older. These divorced spousal benefits do not reduce or affect the former spouse’s own payments, which means that both individuals can receive full benefits independently. For many retirees, this rule can facilitate an important financial lifeline, especially if one spouse earned significantly less during their marriage.
Divorce can also influence survivor benefits. If an ex-spouse passes away, the surviving former partner may be entitled to survivor benefits based on the deceased’s record, provided the marriage at issue met the ten-year requirement. These benefits can often be higher than spousal benefits, depending on the deceased’s earnings and the survivor’s age at the time of claiming. However, remarriage before age sixty generally disqualifies a person from collecting benefits based on a deceased ex-spouse’s record.
While divorce does not eliminate the right to claim Social Security spousal benefits, it can change the timing and strategy. Deciding when to divorce can impact long-term income, and the availability of divorced spousal or survivor benefits may influence other financial concerns, such as retirement savings withdrawals or pension elections. These are just a few of the reasons why seeking legal guidance proactively can help people determine the best approach for their future.