In the maximized benefits report for a client, I notice spousal benefit to be less than 50% of the highest earner. Why?
One thought on “Spousal benefits less than half the earner’s benefits”
In certain cases, spousal benefits can be less than half the benefits of primary person. For example, if the spouse starts taking spousal benefits before full retirement age. Also spousal benefits don’t get delayed retirement credit that primary beneficiary gets. That is, if primary beneficiary is entitled for $2,400 in benefits at full retirement age, the spousal benefits would max at $1,200 even though the primary may get say $3,000 a month if he delays past his full retirement age.
We will be happy to take a look at the report for specifics.
In certain cases, spousal benefits can be less than half the benefits of primary person. For example, if the spouse starts taking spousal benefits before full retirement age. Also spousal benefits don’t get delayed retirement credit that primary beneficiary gets. That is, if primary beneficiary is entitled for $2,400 in benefits at full retirement age, the spousal benefits would max at $1,200 even though the primary may get say $3,000 a month if he delays past his full retirement age.
We will be happy to take a look at the report for specifics.