What You Need to Know About the New Laws for Claiming Retirement Benefits
Reading Time: 2 MinutesLast Updated: August 19, 2021
Have you heard that some of Social Security’s rules about claiming benefits are changing? Well, it’s true. The Bipartisan Budget Act that passed last November closed two complex loopholes that were used primarily by married couples. We want you to know why this happened, how it might affect you, and what you should do next.
But first, don’t forget that one of the best ways to increase your Social Security retirement benefit is to delay claiming it between ages 62 and 70. Each month you delay results in a higher monthly benefit for the rest of your life. The new law doesn’t change this.
The new law closes loopholes that allowed some married couples to receive higher benefits than intended. Only a small fraction of retirees used these loopholes. Closing them helps restore fairness and strengthens Social Security’s long-term financing.
So what’s changing with the new rules?
- First, if you are eligible for benefits both as a retiree and as a spouse (or divorced spouse), you must start both benefits at the same time. This “deemed filing” used to apply only before the full retirement age, which is currently 66. Now it applies at any age up to 70, if you turned 62 after January 1, 2016.
- Second, if you take your retirement benefit and then ask (on or after April 30, 2016) to suspend it to earn delayed retirement credits, your spouse or dependents generally won’t be able to receive benefits on your Social Security record during the suspension. You also won’t be able to receive spouse benefits on anyone else’s record during that time.
For more information about these changes in the law, please visit Recent Social Security Claiming Changes and Retirement Planner.
Deciding when to start your Social Security benefits is a complex and personal decision. You may contact Social Security at 1-800-772-1213 (TTY 1-800-325-0778), or visit your local field office, to speak with a representative about your retirement options. In particular, if you are or will be full retirement age (66) or older before April 30, and you think you want to suspend your benefits, contact us as soon as possible before April 30. But remember, if you want to let your retirement benefit grow, you can simply delay taking it, up to age 70.
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About the Author
Virginia P. Reno, Deputy Commissioner, Retirement and Disability Policy
Virginia P. Reno, Deputy Commissioner for Retirement and Disability Policy, Social Security Administration
Comments
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Claire D.
Please tell me where I can find information regarding my State Pension and reporting any increases I receive from them. Thanks very much
James K.
I will be retiring in Sept at age 65. I will have exceeded the 17,640 limit before then. Will having exceeded the limit affect by monthly pension from Sept-December as I have no plans to work or have earned income?
Jeff B.
I plan on claiming benefits at age 70. My birthday is November 20. When should I contact social security to file (on line) and what effective date should I use to receive the maximum benefit?
A.C.
Hi, Jeff. Our system is set up to take applications four months in advance. When you are ready you can complete the online application for Social Security retirement benefits in as little as 15 minutes. To get started, visit our Retirement Benefits web page. Thanks!
Timothy B.
I will be 62 in September, 2019 and I intend to take my benefits early. My question is, when do I apply to begin getting them in October 2019?
A.C.
Hi, Timothy. Our system is set up to take applications four months in advance. You can apply for Social Security retirement benefits when you are at least 61 years and 9 months of age and want your benefits to start in the next four months. When you are ready you can complete the online application for Social Security retirement benefits in as little as 15 minutes. To get started, visit our Retirement Benefits web page. Thanks!
R. F.
Wife was a stay at home mom. never paid Social Security. What percentage of my benefits is she eligible for if I retire at age
62?
65?
70?
Olga L.
What about those of us who are NOT able to retire on our own record (e.g. lifelong housewife) who intend to retire on our spouse’s record? I will be 62 in September of 2019 but my spouse has been receiving social security for some time now. How do I optimize my retirement benefits?
paula c.
I had a stroke at 62. I didn’t plan on it. my ss benefits were reduced by 30 percent. I don’t think that’s fair
Robert M.
Is NH one of the states that do not take taxes out of SS retirement benefits ?
A.C.
Hi, Robert. Some people have to pay federal income taxes on their Social Security benefits. This usually happens only if you have other substantial income (such as wages, self-employment, interest, dividends and other taxable income that must be reported on your tax return) in addition to your benefits. See our Benefits Planner: Income Taxes and Your Social Security Benefits for more information. Thanks!
Donna
I’ve just reached full retirement age. My husband is two years older and has deferred filing for his retirement benefit until age 70. His will be the larger lifetime earnings. If I file will my benefit be calculated based on solely my earnings or will it include his? Also, if it’s solely based on my earnings will my benefit be increased when he files?
V.V.
Hi Donna, thank you for using our blog to ask your question. You may be able to get spouse’s benefits but, under existing law, if you are eligible for benefits both as a retired worker and as a spouse, you must apply for both benefits and you’ll receive the higher of the two benefits. This requirement is called “deemed filing” because when you apply for one benefit you are “deemed” to have also applied for the other.
However, if you turn 62 before January 2, 2016, deemed filing rules will not apply if you wait to file at your full retirement age or later. This means that you, may file for either your spouse’s benefit or your retirement benefit without being required or “deemed” to file for the other. See our Deemed Filing For Retirement And Spouse’s Benefits FAQs web page for details.
It sounds like you and your husband may have some filing options. To inquire about your filing options, please contact your local Social Security office or call our toll free number at 1-800-772-1213. Representatives are available to help you Monday through Friday between 7 a.m. and 7 p.m.
Kumar T.
Hi,
I am waiting for a interview date to be set. I would like to know what information you may require. Note I am applying SSD benefits @66 only. I looked on your website and found disability payments which I am not applying for.
Regards /Kumar
A.C.
Hi, Kumar. Did you know you can file online for retirement? Also, check out our checklist for online applications for gathering information to apply. We hope this helps.