Hello Larry,
I'm 65 and my wife is 62. I am primary breadwinner and intending to wait till 70 to start collecting Social Security. Should my wife start collecting hers now, given that later she can increase it to her spousal amount?

Thank you

Hi. Your wife can start drawing her own benefits as early as age 62, but if she does so her benefit rate will be reduced for age. And, that reduction will continue for as long as both of you are living even if she later becomes entitled to spousal benefits.

Here's an example to clarify: Let's say Joy files for her Social Security retirement benefits this year at age 62. Joy's PIA, which is equal to the amount she'd be eligible for if she started drawing her benefits at full retirement age (FRA), is $600. But, Joy's benefit rate is reduced for age to $427 because she's claiming her benefits at age 62. Several years later Joy's spouse applies for his benefits, and his PIA is $2000. Joy's unreduced excess spousal benefit would then be calculated by subtracting her PIA from 50% of her husband's PIA, which in Joy's case amounts to $400 (i.e. $2000/2 - $600). If Joy is at least FRA when she becomes eligible for her excess spousal benefit, she would then be paid the full unreduced excess spousal amount of $400 in addition to her own reduced rate of $427 to give her a combined rate of $827.

Whether or not your wife should start drawing benefits early depends on a number of different factors. You and your wife may want to strongly consider using our software (https://maximizemysocialsecurity.com/purchase) to fully analyze the options available to you in order to determine your best strategy for maximizing your benefits.

Best, Jerry