My ex-husband clearly solely had jobs that paid him in money or underneath the desk since our divorce 23 years in the past. I discovered this out after calling the Social Safety workplace to use for his retirement checks. He is not receiving any as a result of the small quantity he had in his account whittled all the way down to nothing. Does that imply I’ve no recourse?
-L.
Expensive L.,
You’ll be able to solely accumulate Social Safety on a present or former partner’s work document in the event that they’re eligible for advantages. They must be not less than 62 and have a minimal of 40 work credit. That quantities to 10 years of working and paying the payroll taxes that fund Social Safety and Medicare.
In case your ex-husband isn’t eligible for Social Safety and he’s 62 or older, it’s as a result of he hasn’t earned 40 work credit, not as a result of he’s depleted an account. Social Safety doesn’t have separate accounts put aside for every of us. Advantages are paid out from Social Safety’s belief fund based mostly on how a lot you paid into the system.
I’m questioning if working underneath the desk appears in line with the particular person you knew 23 years in the past. This can be a lengthy shot, but when your ex-husband often labored an everyday job, maybe it’s value one other name to Social Safety to confirm that they’ve the right figuring out info. Take into account, although, that every one that is moot when you have been married for lower than 10 years, as you wouldn’t be eligible to your ex’s profit even when it exists.
In case your ex doesn’t qualify for retirement advantages, sadly, you gained’t qualify for ex-spousal advantages. However perhaps that’s not the dire information you assume it’s.
I’m guessing you’ve survived these previous 23 years with out help out of your ex-husband. Should you’ve earned not less than 40 work credit by yourself, you’ll in all probability get more cash by taking your individual retirement profit.
Advantages for spouses and ex-spouses aren’t fairly the boon many individuals count on. The common month-to-month spousal profit as of June 2022 was $835 vs. $1,623 for the common retirement profit. You don’t get a spousal profit on prime of your individual profit. Social Safety merely offers you whichever profit is greater, however not each advantages.
The rationale spousal advantages are a lot decrease is that the utmost profit you may accumulate is 50% of your partner’s or ex-spouse’s full retirement profit. Should you apply earlier than your full retirement age, which is 66 or 67, relying on if you have been born, you’ll get even much less. For instance, when you begin Social Safety at 62, the earliest age you may accumulate retirement advantages, you’d obtain simply 32.5% of your ex’s profit.
You can also’t rating greater month-to-month checks by delaying. If you take your individual profit, you get an additional 8% per yr for ready to take Social Safety till you attain your most profit at 70. However spousal advantages cap out at your full retirement age of 66 or 67.
Should you’ve labored some, however not sufficient to earn your individual Social Safety profit, contemplate whether or not you may get a job to succeed in these 40 credit. You’ll be able to earn as much as 4 credit per yr. In 2022, you’d have to earn simply $6,040 to earn the four-credit most, so even working a number of hours every week at a part-time job might provide help to qualify. Delaying Social Safety for so long as doable to gather a much bigger profit would even be good on this scenario.
Within the worst-case situation that you simply haven’t labored sufficient to get Social Safety, you’d nonetheless have the ability to obtain Supplemental Safety Earnings (SSI) when you’re 65. In contrast to Social Safety advantages, SSI isn’t based mostly in your work document. The utmost month-to-month profit for a person in 2022 is $841 — barely greater than the common spousal profit.
Spousal advantages often make sense when one partner was the primary breadwinner over a protracted marriage. However you’ve been dwelling with out your ex for 23 years. You have got choices for gathering advantages, however they gained’t come out of your ex-husband’s work document.
Robin Hartill is an authorized monetary planner and a senior author at The PNW. Ship your difficult cash inquiries to [email protected].