Ask the Expert: Can my wife take Social Security spousal benefit and work?
I'm 68 years old. I've collected Social Security since age 66, but I've also continued working. My wife will soon be 65 and probably work until she's 66. Can she take a spousal benefit on my account instead of her own benefit, and continue working? If so, would she get 50 percent of my full retirement age benefit? In retrospect, I should have waited to take Social Security. Can I suspend my benefit to allow it to grow until I'm 70? If so, can I do that even if my wife elects a spousal benefit on my account?
She must delay that application until her full retirement age — 66 if she was born between 1943 and 1954 — to receive 50 percent of your full retirement benefit and defer her own benefit.
The fact that she intends to keep working is an additional reason to postpone her application: In 2019, a person who's under full retirement age and works while collecting Social Security will temporarily forfeit $1 of benefit for every $2 she earns above $17,640. Once she's 66, she can receive her entire spousal benefit regardless of the amount she earns.
But if you suspend your benefit, her spousal benefit on your account will also be suspended.
At your request, your benefit can be suspended until you ask to start it again or until you're 70, whichever comes first, says Linda Lauria, a Social Security Administration spokeswoman. While suspended, your benefit grows 0.66 percent a month (8 percent a year) in delayed retirement credits (DRCs). But your wife's suspended spousal benefit won't accrue DRCs.
Crunch the numbers before deciding — and remember a suspension doesn't change Medicare enrollment deadlines or coverage. If you're on Medicare, you'll be billed quarterly for premiums.
The bottom line
Suspending Social Security payments sometimes makes sense.
