The Social Security program was established in 1935 to combat a serious problem – over half of elderly Americans didn’t have enough income to support themselves. However, the initial program left important gaps.
Social Security was expanded in 1939 to cover more vulnerable groups, including widows. Since that time, Social Security “widows’ benefits” have been modified and extended to cover nearly all family members who were financially dependent on a person who has since passed away. The expanded benefits are collectively known as “Social Security Survivor Benefits.”
Transitioning to Medicare
When: Tuesday, 4/22/25 from 3 – 4 PM CST
Where: Online Webinar
Speaker: Patricia L. Burris, CFP®
Medicare webinar will cover Medicare enrollment, supplement plans, strategies for maximizing benefits, and 2025 program updates.
10th Annual: Document Shredding to Benefit Children’s Hospital of Alabama
When: Saturday, April 26th, 9:00 AM - 12:00 PM
Where: Meld Financial Office
Speaker: N/A
Meld Financial will be hosting our 10th annual Shred-It event on April 26th to benefit the Children’s Hospital of Alabama.
What are Social Security Survivor Benefits?
Social Security survivor benefits are monthly payments from the Social Security Administration to the surviving family of a covered worker. Most commonly, these benefits are paid to the spouse of a worker who has passed away, but children and parents can also claim them in some cases.
Survivor benefits are intended to help spouses and dependents after the death of their loved one. For those who are eligible, these benefits can be an integral part of their comprehensive financial plan.
Who qualifies for Social Security Survivor Benefits?
Family members who relied on the deceased person for some or all their financial support can qualify for survivor benefits. These family members can include a spouse, ex-spouse, children, and even parents in some cases.
Spouses and Ex-spouses
To qualify for Social Security survivor benefits based on your spouse’s earnings record, you must meet several criteria. The first of these is the length of your marriage. If you were married to your spouse at the time of their death, your marriage must have lasted at least nine months. On the other hand, if you were divorced from your spouse at the time of their death, your marriage must have lasted at least ten years.
Your age is also a factor when determining if you can claim survivor benefits. For most people, the earliest age to claim survivor benefits is age 60. However, this requirement is reduced to age 50 if you have a disability. Additionally, you can claim benefits at any age if you are caring for a child under age 16 or who is disabled.
Also, you must be unmarried when you claim Social Security survivor benefits. If you remarry before age 60 – and that marriage lasts until you reach age 60 – you will not be able to claim survivor benefits. However, remarriage after age 60 won’t prevent you from receiving benefits. Since you can claim benefits at age 50 if you have a disability, the remarriage requirement is also reduced to age 50 in that situation.
In addition to your age and marital status, your spouse’s work history is also important. The length of time your spouse needed to work for you to qualify for survivor benefits depends on their age at death, but it is never more than 10 years.
Children
As previously mentioned, minor and disabled children can qualify for survivor benefits in some cases. To qualify, a child must be under age 18 – up to 19 if they are still in school – or have a disability. In certain circumstances, stepchildren, grandchildren, step-grandchildren, and adopted children can also qualify for benefits.
Parents
Dependent parents can also receive Social Security survivor benefits. To qualify, they must be at least age 62 and must have received at least half of their support from the deceased.
How much are Social Security Survivor Benefits?
The amount of Social Security survivor benefits depends on your relationship to the person who died. In addition, the age at which you begin receiving benefits can impact your benefit amount.
Spouses and Ex-spouses
It is a common misconception that widows and widowers receive survivor benefits in addition to their own Social Security retirement benefit. Instead, you can only receive one benefit at a time.
If both you and your spouse were receiving Social Security retirement benefits when your spouse passed away, you will continue receiving only the higher of the two benefits. On the other hand, if your spouse passed away earlier in life, you have options. For example, you could choose to collect a reduced survivor benefit at age 60 then switch to your own retirement benefit later.
It is also important to know that the amount of your survivor benefits depends on the age at which you claim them. At your Full Retirement Age [FRA] – age 67 if you were born in or after 1960 – you will receive your spouse’s full benefit. This is the amount your spouse would have received at their own FRA. However, your benefits are reduced if you take them early. Between age 60 and your FRA, you will receive between 71.5% and 99% of your spouse’s benefit amount.
If you have a disability and begin benefits between age 50 and 59, you will receive 71.5% of your spouse’s full retirement benefit. Additionally, if you are a widow or widower with a child younger than age 16, you can receive 75% of your spouse’s full benefit – no matter the age at which you begin benefits.
Children and Dependent Parents
Dependents typically receive a lower survivor benefit than spouses. Qualifying children – both minors and those with a disability – receive 75% of the deceased parent’s benefit amount.
The amount that qualifying dependent parents receive depends on how many parents can claim benefits. If there is only one surviving parent, they can receive 82.5% of the deceased’s benefit. When there are two surviving parents, each receives 75% of the benefit amount.
Important Considerations with Social Security Survivor Benefits
There are several factors that can reduce your survivor benefits in addition to your age and qualification criteria. These include the family maximum benefit amount, government pension offset rules, and the earnings test.
Family Maximum
The Social Security Administration places a limit on the total monthly survivor benefit for a family. The limit varies, but it is typically 150% – 180% of the deceased person’s full benefit amount. However, ex-spouse benefits do not count toward this limit.
Government Pension Offset Rules
The government pension offset rule applies if you receive a pension from a government job that did not require you to pay Social Security tax. If this rule applies to you, your survivor benefits will be reduced by two-thirds of the amount of your pension.
Earnings Test
The earnings test is an additional rule that applies if you claim benefits before FRA and continue to work. This rule withholds a portion of your survivor benefits for each dollar that you earn over certain thresholds until you reach FRA. After you reach FRA, the withheld benefits are repaid to you over the course of your life.
Social Security survivor benefits can be vital to securing your retirement after a family member or spouse passes away. However, the Social Security program is vast and there are many nuances that can impact your benefits. To optimize your survivor benefits, work with an experienced financial advisor.
Optimize Your Social Security Benefits with Meld Financial
The team of tax, legal, and investment professionals at Meld Financial has been helping clients achieve their retirement dreams for nearly four decades. We have the experience to help you with every aspect of retirement planning – including optimizing benefits from government programs like Social Security and Medicare.
Our comprehensive wealth management plan – Financial Fingerprint® – is quick to assemble, easy to understand, and simple to modify as your circumstances change. This nimble plan accounts for the most common challenges to your financial future including government benefits.
To get started with Financial Fingerprint® today, contact us.
