Advanced Underwriting Consultants

Question of the Day – February 21

Ask the Experts!

The professionals at Advanced Underwriting Consultants (AUC) answer the tax and technical questions posed by producers.  Here’s the question of the day.

Question:  I am working with a married couple on their Social Security retirement planning.  The husband has already applied for retirement benefits.  The wife just turned 66, and is wondering whether she should start taking her own benefits based on her own work record?

Answer:  The decision about when to take retirement benefits from Social Security is highly complex, especially when both spouses have worked and qualify for benefits under their own records.

In the case described above, the wife can choose to apply for spousal benefits at age 66—and receive Social Security benefits based on her husband’s work record.  If she does that, she can keep accruing delayed retirement credits for her own work record until age 70—at which point she can switch to that benefit, if it is higher than her spousal benefit.

We strongly recommend that those approaching retirement consult with a financial professional to sort out their Social Security retirement benefit choices.

Have a question for the professionals at AUC?  Feel welcome to submit it by email.  We may post your question and the answer as the question of the day.