When you got married, you thought you’d retire peacefully with your spouse. Now divorce threatens everything.
You wonder if you will be able to “make it” financially after divorce and if you’ll ever be able to retire.
Social Security is a crucial concern for many older divorcees, stay-at-home spouses, and those with limited incomes. If you’re facing divorce, understanding the laws for how Social Security can be awarded after a divorce is a critical consideration.
Social Security Offers Spousal Benefits Under Certain Conditions
If you were a stay-at-home parent during your marriage, you likely haven’t worked for a long period of time. This sacrifice means you may not have enough work history to obtain Social Security benefits for yourself.
Fortunately, the Social Security Administration (SSA) offers spousal benefits to spouses with no or limited work history who have been married for at least 10 years. These benefits remain available even if you divorce.
The only requirement for claiming these benefits after a divorce is that you must remain unmarried for at least two consecutive years before you can collect spousal benefits from a former spouse. And if you remarry, those benefits stop. However, if your new marriage ends, you may become eligible to receive benefits again based on your first ex-spouse.
The spousal benefit is up to 50% of your ex-spouse’s benefit. The exact amount depends on whether you choose to start collecting Social Security benefits earlier or later.
Lastly, spousal benefits have no effect on the benefits that your ex-spouse will receive. And, if you do have enough work history, you will receive benefits from the work history that offers the most benefits.
How Does Age Affect Spousal Benefits?
You need to be at least 62 to claim spousal benefits. Your ex-spouse doesn’t even have to file for benefits for you to receive them as long as you’ve been divorced for two or more years.
If your ex-spouse has died by the time you retire, you may be able to receive benefits as a widow or widower. In that case, you could be eligible for up to 100% of the deceased spouse’s benefits if you’ve reached full retirement age.
How Can Remarrying After a Divorce Affect My Benefits?
As mentioned above, spousal benefits from your ex-spouse will stop if you remarry. The good news is that you will be able to get spousal benefits based on your new spouse’s work history.
There is only one scenario where remarriage will not affect SSA benefits you receive from an ex-spouse. If your ex-spouse were to die before you and you start receiving survivor’s benefits, then as long as you remarry after age 60, you can keep receiving those benefits.
Knowledge of Social Security Benefits May Impact Your Divorce Strategy
If you haven’t been married for ten years yet but are getting close, it may be wise to wait to divorce until after your 10-year anniversary. This can ensure you have the option to collect Social Security benefits based on your ex-spouse’s work history once you are ready to retire.
Divorce Mediation Can Help Secure Your Retirement Plans
Social Security benefits are just one source of retirement income. Individual retirement funds and work plans are other parts of a good retirement strategy. Getting divorced through mediation allows you and your spouse to work together to divide these additional retirement accounts.
Mediation produces less conflict and is more affordable than traditional divorce. All negotiations remain private and both spouses retain control over what happens after their marriage ends. Mediation focuses on finding solutions that work for both parties.
Divorce is a big change, but it doesn’t have to spell disaster for your retirement plans. By understanding Social Security rules and negotiating a fair split of other retirement accounts, you can make smart decisions for your future. Consider discussing your situation with a financial advisor who understands both Social Security and divorce-related financial planning. They can provide further guidance tailored to your unique circumstances.
If you’re ready to get a divorce with less fees, less conflict, and less court involvement, contact Charleston Divorce Mediation today @ 843-323-4687 to see if mediation is the right choice for you and your family.
About Catherine Marra
Catherine Marra is a Mediator with over 30 years of experience in Family Law, including 20 years in private practice and 10 years as a Family Court Magistrate. She uses her knowledge and experience to guide couples in negotiating divorce settlements so they can save money, complete the divorce process quicker, and get better outcomes than they would at trial.