How to Navigate Social Security After Divorce or Death
Navigating the intricacies of Social Security (SS) after divorce or death can feel overwhelming, but it does not have to be. Whether you are a divorcee or a surviving spouse, understanding the rules surrounding SS benefits can significantly impact financial planning for retirement. This article provides helpful information on disbursing benefits after a divorce or death and how to navigate the process.
Understanding SS Benefits
First, it is essential to clarify what SS benefits entail. These are payments made to qualified retirees and disabled individuals, as well as their spouses, children, and survivors. These benefits are funded by payroll taxes collected from employees and employers throughout a person's working life.
Benefits after divorce
After a divorce, Social Security benefits can become a critical factor in financial stability for some individuals. According to the Social Security Administration, divorcees may be eligible if they meet the following criteria:
- Are age 60 or older or aged 50-59 and have a disability
- Didn't remarry before age 60
- Were married for ten years or longer
- Married at least nine months before the spouse's death
It's vital to know that claiming benefits does not affect the ex-spouse's access to benefits. Also, eligibility for benefits is based on the ex-spouse's record, even if the ex-spouse remarried. However, the spouse seeking benefits must have a lower amount than their ex-spouse's.
Benefits after the death of a spouse
Social Security benefits offer financial support in the event of a spouse's death. Widows, widowers, and dependents of deceased workers may be eligible for Social Security survivor benefits.
According to Social Security Administration guidelines, a widow or widower who is full retirement age or older receives 100% of the deceased worker's benefit. Meanwhile, those 60 or older but under full retirement age receive about 71%—99% of the worker's basic benefit amount. A widow or widower can also receive managed benefits from age 60 or even as early as age 50 if disabled.
Benefits for children of a deceased parent
Children may be eligible for benefits in certain circumstances:
- Are age 17 or younger.
- Age 18-19 and still enrolled full-time in a K-12 school.
- Developed a disability under age 21.
Although applying for Social Security benefits after death or divorce may seem daunting, several resources can assist you. The Social Security Administration's website provides comprehensive information on the various benefits available and eligibility requirements. Alternatively, financial professionals or social security lawyers can offer personalized guidance regarding benefits.
Tips to help navigate applying for benefits
Tip #1—Gather essential documents
Collect all necessary documents: birth certificate, marriage certificate, proof of U.S. citizenship, W-2 forms, and state-issued ID. If a surviving spouse, a death certificate is also required.
Tip #2—Initiate the application process
Applying for Social Security benefits online, in person at a Social Security office, or by calling the Social Security Administration. It is vital to fully understand the application process and provide accurate information to avoid complications.
Tip #3— Track the benefits claim process
After applying, monitor the claim's progress by checking its status online or contacting the Social Security Administration.
Tip #4— Seek professional help
If you find it challenging to navigate the process, seek professional help. A financial professional can help guide you toward receiving the full benefits you are entitled to.
In conclusion, navigating Social Security after divorce or death may be emotional and complex. However, understanding the guidelines, benefit amount, and eligibility for benefits can help one work toward financial stability during challenging times.
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Important Disclosures:
Content in this material is for educational and general information only and not intended to provide specific advice or recommendations for any individual.
All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.
This article was prepared by Fresh Finance.
LPL Tracking #693109
Sources:
https://www.disasterassistance.gov/get-assistance/forms-of-assistance/4485
https://www.ssa.gov/survivor/eligibility
