Securing Your Family's Future with Social Security Survivor Benefits
Life after a spouse’s death is incredibly challenging, especially when it comes to figuring out your financial stability. When your income takes a hit, whether your spouse was the main breadwinner or you work but your dual income gets cut in half, the financial pressure can be overwhelming.
Let’s talk about Social Security survivor benefits and how they can help keep you and your kids on stable financial ground during this tough time.
I didn’t even know survivor benefits were a thing until my husband died because I thought Social Security was just about retirement. I learned quickly that Social Security is also there to help when someone who’s paid into the system dies, ensuring their family isn’t left in a financial lurch.
If your spouse paid into Social Security, you and your kids likely qualify for survivor benefits. The rules can be tricky, though, especially when it comes to your age and whether you have kids at home. The best thing to do is schedule a sit-down with your local Social Security Administration (SSA) office. Don’t worry if you think you might not qualify or don’t have all the paperwork sorted just yet — you can still get started and the SSA representative will assist you with further instructions.
Before you do anything else, immediately inform the SSA if your spouse was receiving retirement or disability benefits before they died so you can stop the payments. Failing to notify the SSA promptly and using funds issued after your spouse's death could lead to legal consequences for repayment, regardless of your awareness or understanding of the rules.
This is a lot, I know, especially when you’re just trying to get through the day, but it’s a crucial step.
There are different types of survivor benefits, like:
If you’re 60 or older: You can start receiving survivor benefits as early as age 60, but how much you get might be affected by whether you’re working. Oh, and you can only apply for survivor benefits at age 60 if you remain unmarried. If you get remarried before you turn 60, you forfeit your widow survivor benefits.
For the disabled: If you’re over 50 and disabled, you might qualify for certain benefits.
If you’re caring for kids under 16: This entitles you to specific benefits, which can be adjusted based on your income.
Children up to age 18
If you apply for benefits as the parent caring for kids under 16, it’s called a Child-in-Care benefit. You collect that benefit, and you might have to pay tax on it (depending on your other income sources).
But your child(ren) can receive a child survivor benefit of their own. Because minors can't legally manage money or assets, the SSA pays this payment to you as your child's Representative Payee. As the Representative Payee, you decide how the benefits are used for things such as food, shelter, education, clothing, recreation, or medical and dental care not covered by insurance. You’ll manage this money to help cover their needs, but the benefit is issued in their name so there is no tax burden for child survivor benefits (unless your child has other income – be sure to check the IRS rules in this case).
A child survivor benefit ends one month before the child turns 18. If they turn 18 while still in high school, the SSA will send them the necessary paperwork to extend this benefit until they graduate.
When you chat with someone at the SSA, ask about key figures like the Primary Insurance Amount (PIA) and Family Maximum Benefit (FMB). These numbers impact how much money your family will get. You’ll also need to get clear on both your and your spouse’s Full Retirement Age (FRA) to determine if it make sense to claim a widow survivor benefit or your own retirement benefit first.
You have some flexibility when it comes to claiming your benefits. You can start by claiming widow survivor benefits as early as age 60 — or 50 if you're disabled — and let your own retirement benefit continue to grow. If your own retirement benefits would eventually be higher, you have the option to switch to them later. This way, you can make sure you're getting the most out of the system, depending on your needs and what makes sense for you. Choosing when and which benefits to claim can make a big difference in your financial future.
I know these numbers and benefit caveats can be confusing, so I created an entire section on Social Security survivor benefits in The Ultimate Survival Guide for Widows to help make these decisions clearer. It includes examples of different benefit scenarios and a handy worksheet to help you easily track and manage your key benefit numbers, making it simpler to navigate your options and make informed decisions.
Dealing with the financial aftermath of your spouse’s death is not for the faint of heart, but Social Security survivor benefits can bring some stability to an otherwise overwhelming situation. Whether you're adjusting to a reduced income or navigating your benefit options, it’s crucial to be as informed as possible.
The rules around these benefits can be complex, particularly concerning age and dependent status, so setting up a meeting with the Social Security Administration is a great first step. Ask questions and take notes so you fully understand and can claim every benefit available to you, avoiding any potential loss of income or surprises down the road.
Editor’s note: This information is for educational purposes only. Please consult the Social Security Administration or other appropriate professional regarding your specific situation.
