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
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Patricia A.
I am 76 years old. I retired in 1994. I started receiving ss benefits in 1962. My ex and I have been divorced since 2004. Neither of us has remarried. I didn’t know about spousal ss benefits until recently. Can I still apply?
Ann C.
Hi, Patricia. To be eligible for divorced spouse benefits, you had to be married to your former spouse for at least 10 years, and you cannot be eligible for a higher benefit on your own record. For more information on how to qualify for divorced spouse benefits, visit our Benefits Planner: If You Are Divorced. We hope this helps.
Donald D.
I’m currently paying for my medical coverage premium for plan A and separate for Plan D. When I start to received my SS can I stop the payment for my private coverage since SS will be deducting the premuim from my coverage.
Ann C.
Hi, Donald. For options for paying your premium, please see Medicare’s website here. For Medicare Part D, please contact your carrier directly. We hope this helps.
DOUGLAS G.
my mother passed away on dec 23 of 2019 she was 86 she worked for the Philadelphia school district i was told since am next to kin i get her retirement how does this work ?
Ann C.
Hi, Douglas. We are sorry to hear about your loss. The Lump-Sum Death benefit of $255 (a one-time payment) may be payable upon the death of a person who has worked long enough to be insured under Social Security. Only eligible family members may be able to receive the one-time payment and monthly survivor benefits. For more information on this, please see our publication, How Social Security Can Help You When a Family Member Dies. If you are referring to your mother’s retirement benefits through her prior employer, you may have to contact the human resource department of your previous employer. We hope this helps.
Lucy
my hubby’s step sister is a sole beneficiary of his father, since their father recently died, can his sister a 23 year old can claim the retirement benefits since their father is unmarried.
Ann C.
Hi, Lucy. Only eligible family members may be able to receive monthly Survivor benefits. For more information on this, check out our publication, How Social Security Can Help You When a Family Member Dies. Hope this helps.
deirdre s.
I would like to know how to begin collecting my benefits.
Deirdre Shields
Martine
I alrady enjoying retirement and passing my time with bloging about motorcycle helmet on helmettoday.com .
vincent L.
I turn 62 in March, thinking of claiming my social security . When do I start?
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Kevin L.
my employer has retired me under medical disability at age 53. Can I receive a lump sum 401k payment or will it affect my SSDI application for income amount?
Ann C.
Hi, Kevin. Thanks for your question. Social Security Disability Insurance (SSDI) benefits are based on earnings and are not subject to income and resource limits. However, if you receive a payment from worker’s compensation, a public disability benefit, or a pension based on earnings not insured under Social Security, it may reduce your benefit. For more information, please see our pamphlet, How Workers’ Compensation and other Disability Payments May Affect Your Benefits. We hope this helps.
Debra J.
I am confused on something I’ve read. It stated that if you take early retirement your benefits will be reduced for 47 months and then increased at age 65. I did file for early retirement at the age of 62 which was 9/2016 which means I applied in 07/2016. My ex husband dies in 6/2016 I did try to apply for both benefits and was told I made more money than my ex so I was denied spouse’s benefits.
A year later while talking with a friend she said that didn’t seem right my ex husbands monthly benefit was more than mine. So I went into the office and found out I had been given the wrong information at the time I applied for my benefits. I was paid for the back pay and it increased my benefits appx 200.00 a month.
My question now is since I had taken the early retirement decrease in befits appx. 30% less. So does this mean at age 65 my benefits will re recalculated at a higher rate?
Ann C.
Hi, Debra. For your security, we do not have access to private information in this venue. We ask that members in our Blog community work with our offices with specific questions. You can call us at 1-800-772-1213, Monday through Friday, between 7:00 a.m. and 7:00 p.m., for assistance. Generally, you will have a shorter wait if you call later in the day. You can also contact your local Social Security office. We hope this helps.