By Gregg Gonzalez, CFP®, CFF®

Claiming Strategies for Couples and Individuals

Social Security is a critical part of retirement income but knowing when and how to claim benefits can significantly impact your financial future. Whether you’re single or married, the right strategy for claiming can mean the difference between just getting by and living confidently in retirement. Here’s what you need to know to make the most of your benefits.

1. Understanding How Social Security Benefits Are Calculated

Your monthly benefit is based on:
✔ Lifetime Earnings: Social Security calculates benefits using your highest 35 years of earnings. If you have fewer than 35 years of work history, zero-income years lower your average.
✔ Full Retirement Age (FRA): Your FRA depends on your birth year (typically between 66 and 67).
✔ Claiming Age: You can start benefits as early as 62, but claiming before FRA reduces your monthly check. Waiting until 70 increases your benefit by 8% per year beyond FRA.

📌 The RetireStrong Key Takeaway: The longer you wait (up to 70), the higher your monthly benefit.

2. Claiming Strategies for Individuals

If you’re single, your main decision is when to claim:

• Claiming early (age 62-66/67) → Lower monthly benefit but more years of payments.
• Waiting until FRA (66-67) → Full monthly benefit.
• Delaying until 70 → Maximum monthly benefit (can be 24-32% higher than at FRA).

💡 Best Strategy for Maximizing Benefits:

• If you expect a long lifespan, delaying benefits gives you more money over time.
• If you need income sooner or have health concerns, claiming early may be the better option.

3. Claiming Strategies for Couples

Married couples have additional strategies to maximize Social Security benefits:

A. Delay the Higher-Earner’s Benefits

• The higher-earning spouse should delay claiming until 70 to maximize their benefit.
• This strategy also increases the survivor benefit for the lower-earning spouse.

B. Spousal Benefits

• A spouse can claim up to 50% of the higher-earning spouse’s FRA benefit.
• You must be at least 62, and the higher-earning spouse must have started their benefits.

💡 Best for:

• Couples where one spouse earned significantly less or didn’t work outside the home.

C. Survivor Benefits

• If one spouse passes away, the surviving spouse can claim 100% of the deceased spouse’s benefit if it’s higher than their own.
• Delaying benefits for the higher earner ensures the surviving spouse receives the maximum possible benefit.

💡 Best for:

• Couples where one spouse is expected to live significantly longer.

D. Divorce & Social Security

• If you were married for at least 10 years, you can claim spousal benefits based on your ex-spouse’s work record—without affecting their benefits.
• If your ex passes away, you may qualify for survivor benefits based on their earnings record.

4. Mistakes to Avoid When Claiming Social Security

🚫 Claiming Too Early Without a Plan – Many people start at 62 without realizing the permanent reduction in benefits.
🚫 Not Considering Taxes – Social Security benefits can be taxed if your total income exceeds certain thresholds.
🚫 Overlooking Spousal Strategies – Many couples fail to coordinate their benefits, losing out on thousands in potential income.

5. Final Thoughts: Personalizing Your Social Security Strategy

There’s no one-size-fits-all answer when it comes to Social Security. The right claiming strategy depends on your health, financial needs, and whether you’re married or single. By understanding your options and planning, you can maximize your benefits and create a more confident retirement.

📌 Need help optimizing your Social Security strategy? RetireStrong Financial Advisors would like to discuss the best approach for you!

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

Securities and advisory services offered through LPL Financial, a Registered Investment Advisor, Member FINRA/SIPC.