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The Basics

Social Security for the divorced

If you were married for at least 10 years to someone who has earned benefits, you may be eligible to collect payments as well. Here's how it works.

By divorce360.com

If you're in the middle of a divorce and overwhelmed by documentation of income, budgets and marital assets, take heart. Social Security may be a pillar you can count on for your senior years, assuming you and your (soon-to-be) ex have been married for at least 10 years and at least one of you has earned entitlements.

There are two major advantages to Social Security during divorce:

  • Benefits are not a negotiation point because the payments one party receives in retirement years have no impact on the other party.

  • As the cost of living increases each year, Social Security payments go up in line with inflation (as measured by the percentage increase in the Consumer Price Index from the third quarter of one year to the third quarter of the next).

So although Social Security is usually not a sufficient retirement plan by itself, it is potentially a reliable source of income for those eligible and a comfort to many going through divorce.

Here are some interesting facts about Social Security retirement benefits and divorce:

  • Full retirement age for Social Security is 65 for those born in 1937 or earlier and 67 for those born in 1960 or later. For those born in between those years, there is a sliding scale. You can still begin accessing Social Security retirement benefits at age 62, but you will lock in a payment stream that is about 30% lower than if you wait until your full retirement age.

  • The amount you are entitled to receive is 50% of your ex's Social Security benefit or your own benefit based on your employment history, whichever is greater.

  • If you remarry, you generally cannot collect benefits on your ex's record unless your later marriage ends (by death, divorce or annulment).

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  • If your former spouse dies, you can receive 100% of his/her benefits as a widow/widower if the marriage lasted 10 years or more.

  • Depending on your income bracket, 85% of Social Security benefits may be taxable.

  • For more information, check out the Social Security Administration's Web site.

This article was reported and written by Elizabeth Cox for divorce360.com.

Published May 27, 2008

READ MORE: DIVORCE - SOCIAL SECURITY - SUDDENLY SINGLE – RETIREMENT INCOME

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