“Married or Divorced in 2025? Understanding Your Social Security Rights”
According to News Break, Employed American workers earn Social Security credits, which translate into income received at retirement age, typically between 62 and 70. Marriage and divorce can significantly affect your Social Security benefits, especially if you’re planning a wedding or facing a divorce in 2025.
Read on to find out what you need to know if wedding bells are ringing or if a divorce attorney is calling.
Qualifying for Spouse’s Benefits
One of the advantages of marriage is the potential for spousal benefits, particularly if you haven’t earned enough Social Security credits on your own or if your benefits are minimal. Spousal benefits can effectively increase your income based on your spouse’s earnings.
To qualify for these benefits, you typically need to be married for at least one year, according to the Social Security Administration (SSA). Additionally, your spouse must be receiving Social Security benefits for you to take advantage of their work record. You must also meet one of the following criteria:
- Aged 62 or older.
- Any age if you are caring for a child under 16 or a child with a disability entitled to your spouse’s benefits (biological, adopted, or guardianship).
If you get married in 2025, you likely won’t be eligible for spousal benefits that same year unless you share a dependent child. However, after a decade of marriage, you should be in a good position to qualify.
The Maximum You Can Receive
If you’re eligible for spousal benefits as early as age 62, the maximum amount you can receive is 50% of your spouse’s full retirement age (FRA) benefit. This holds true even if your spouse delays their retirement to earn additional credits. Once you file for this benefit, it becomes permanent, so it’s crucial to make an informed decision when applying.
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Eligibility for Earlier Benefits
There is an exception allowing you to qualify for spousal benefits before age 62 if you are caring for a dependent child under specific conditions:
- The child is younger than age 16.
- The child has a disability and is entitled to your spouse’s benefits.
Payments to family members will not reduce your spouse’s retirement or disability benefits, but you will need to apply to determine your eligibility.
Deemed Filing Benefits
For those whose spousal benefits are less than half of their spouse’s FRA benefit, a “deemed filing” option comes into play. To qualify, you must also be eligible for retirement benefits based on your own work history.
In this situation, you can receive a combination of benefits that equals the higher spousal benefit. For example, if you’re entitled to $1,000 per month from your own record and your spouse’s benefit is $1,300, by waiting to claim your Social Security benefits until your FRA, the SSA will add $300 from your spouse’s benefit, allowing you to receive the full $1,300.
Considerations for Divorce
While entering marriage with the hope of lasting forever, circumstances can change. If you are getting divorced in 2025 from a spouse you were married to for over ten years and you are at least 62 years old, you may be eligible for your spouse’s benefits. Conversely, your ex-spouse may be entitled to your benefits, depending on who has the higher amount. However, you cannot receive both; you’ll receive the higher amount for which you qualify.
There is one crucial caveat: If you remarry, you will lose the right to these benefits. The SSA will not continue these benefits once you enter a new marriage.
Seeking Financial Advice
Whenever you plan to intertwine your finances with another person, seeking financial advice from a trusted professional is wise. This proactive step can help you avoid potential complications down the road, ensuring you have a solid understanding of your financial landscape whether you’re getting married or divorced.