Social security and divorce

Divorce is a difficult and highly emotional process for everyone involved, but for a stay-at-home spouse, the prospect of a single future is frightening. Many women (and these days, men!) opt to leave the workforce to be full-time caregivers when children start arriving. Once the marriage ends in divorce, they worry about their financial future, especially when Social Security is involved.

There is some good news in this regard. Provided that you meet certain eligibility criteria, you may be able to receive benefits based on a percentage of what your former spouse is entitled to claim. According to the Social Security Administration, 43% of single older Americans rely on Social Security for close to 90% of their income, so the ability to collect derivative benefits can make a big difference in your financial future.

To qualify for derivative or survivor benefits, you must have been married for at least 10 years (during which your spouse was earning Social Security credits), and you must be 62 at the time you apply (60 if your former spouse is deceased). How much you receive is based upon your former spouse’s benefits at full retirement age, and the rules are different depending on whether or not he or she is alive or deceased when you apply.

If your former spouse is still living

In this instance, you are entitled to receive your own benefits or up to 50% of your ex’s retirement benefits, whichever is greater. If for example, he or she will be collecting $2,500 per month upon retirement, you could expect to receive $1,250, although you could potentially receive less depending on how old you are when you file for benefits. If your ex has not yet filed, then you must have been divorced for a minimum of two years before you can claim a percentage of his or her benefits.

If your former spouse is deceased

Survivor benefits are similar to derivative benefits in that you will receive the highest of either your own benefits or that of your deceased spouse. You can, however, start receiving these benefits at age 60 instead of 62.

If you’ve been married more than once, then and met the criteria for each marriage, you can opt to file for the highest benefit amount available. One thing to bear in mind is that if you have remarried, and are married at the time you file a claim, you may not receive spousal benefits from a prior marriage.

Medicare works in much the same way. If your own work history does not qualify you for benefits, then you can receive them on your former spouse’s record if they qualify for Medicare and you were married for 10 years.

Derivative and survivor Social Security benefits can provide former spouses with badly-needed income after they retire. Your divorce attorney and a financial planner can explain your options here in New York so that you can reasonably plan for the future. If you have any questions about divorce and social security, then contact the attorneys at Eskin & Eskin, P.C. They have over 40 years of combined experience and can be reached at 718-402-5204. Visit www.EskinAndEskinLaw.com to learn more about divorce and family law.