Written By: Travis Babb, CFP®, EA

The repeal of the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) under the Social Security Fairness Act has brought new opportunities for many retirees to maximize their Social Security benefits. However, if you’ve already filed for your individual benefits, you may be missing out on spousal or survivor benefits—and these benefits may not automatically adjust depending on how you filed for benefits.

Here’s what you need to know about spousal and survivor benefits, how they work, and what steps you may need to take.

What Are Spousal Benefits?

Spousal benefits are designed to provide financial support to a person based on their spouse’s earnings record. They are available to current spouses, ex-spouses (if you were married for at least 10 years and are currently unmarried), and widows or widowers.

Here’s how spousal benefits generally work:

  • Eligibility: You must be at least 62 years old, and your spouse must have filed for their own Social Security benefits.
  • Amount: Spousal benefits can be up to 50% of your spouse’s full retirement age (FRA) benefit if you wait until your own FRA to claim them. If you claim before FRA, the spousal benefit will be reduced.
  • Your Own Benefit Matters: If your own individual benefit is higher than the spousal benefit, you’ll only receive your individual benefit. If the spousal benefit is higher, you’ll receive the higher amount.

What Are Survivor Benefits?

Survivor benefits are paid to the surviving spouse or ex-spouse of someone who worked and paid into Social Security.

  • Eligibility: You can start survivor benefits as early as age 60 if eligible (or age 50 if disabled).
  • Amount: Survivor benefits can be up to 100% of the deceased spouse’s benefit at the time of their death, depending on when you claim.
  • Your Own Benefit vs. Survivor Benefit: Like spousal benefits, if your own benefit is higher than the survivor benefit, you’ll receive your own benefit. However, you can switch to the survivor benefit if it’s higher. If you have not claimed yet, then you may claim just the survivor benefit while delaying your own until age 70.

Why Action May Be Needed

If you’ve already filed for your individual benefits, you may have assumed that any adjustments for spousal or survivor benefits would happen automatically. However, this isn’t always the case, especially for individuals impacted by the WEP or GPO.

Here’s why:

  • Initial Filing Choices: When you applied for your individual benefits, spousal or survivor benefits may not have been available or beneficial due to the impact of WEP or GPO.
  • Missed Opportunity: Now that WEP and GPO have been repealed, spousal or survivor benefits could provide a higher payment than your individual benefits. However, the Social Security Administration (SSA) may not automatically switch you to spousal or survivor benefits unless you explicitly file for them.
  • Retroactive Benefits: If you’re eligible for a higher benefit, you may qualify for retroactive payments, but this is typically limited to six months from the date you file.

Steps to Take

  1. Review Your Current Benefits:
    Compare your individual benefits with the spousal or survivor benefits you might now qualify for.
  2. Contact the SSA:
    Reach out to your local Social Security office to determine if you’re eligible for spousal or survivor benefits and if action is needed to switch to them.
  3. File for Spousal or Survivor Benefits:
    If your spousal or survivor benefit is higher than your individual benefit, you’ll need to file explicitly for the higher benefit.
  4. Ask About Retroactive Benefits:
    If you’re past Full Retirement Age (FRA), ask about retroactive benefits, which may apply for up to six months before your filing date.

Example Scenario

  • Susan’s Situation:
    Susan was affected by the Government Pension Offset (GPO) but still chose to file for her individual Social Security benefits at age 62, resulting in a reduced monthly payment. At the time, her spouse was not yet eligible to claim benefits, which prevented her from applying for spousal benefits. Now that the GPO has been repealed, Susan may be eligible for a higher spousal benefit based on her husband’s earnings record.

If Susan doesn’t proactively contact the SSA and file for the spousal benefit, her payment may remain based only on her individual benefits, even if the spousal benefit would be higher.

Don’t Leave Money on the Table

The repeal of WEP and GPO is a game-changer for those that have been impacted. If you’ve filed for your individual benefits but haven’t applied for spousal or survivor benefits—or if you’re unsure—contact the SSA as soon as possible to review your options.

By taking action, you can ensure that you’re receiving the maximum benefit you’re entitled to and avoid missing out on retroactive payments!

If you have questions or need assistance navigating this process, feel free to reach out. We’re here to help you make the most of your Social Security benefits.