Tips To Maximize Your Social Security Benefits

When you are approaching retirement, you think about the ways to maximize your social security benefits. Below is the list of things that will help you in maximizing your social security benefits.

Know Every Benefit That You Are Eligible For

The very first step is to know what you are entitled to. The retirement benefits are not only for the worker. There are divorced survivor benefits, survivor benefits, spousal benefits, child benefits, etc. Since social security doesn’t tell people when they become eligible for these benefits, you might miss these benefits if you are not proactive.

A person who has lost his/her spouse before retirement, have an opportunity to get a survivor benefit first, and then he/she can switch to his/her own retirement benefit later.

Maximize Your Household Benefits

There is no doubt that your claiming strategy affects your family members. Analyze how your claiming decision affects your spouse and minor children. It might mean using a different benefit strategy than the one you are planning to use. The advice that you get about maximizing the household benefit is to postpone claiming benefits until you reach 70. But we all know this is not the best option when you are in your 60s and have minor children. In a scenario like this, you might receive more benefits if you start claiming early; you will be able to receive dependent benefits.

Factors affecting the decision are:

• Number of children in the household
• When will they turn 18
• Spouse’s benefits amount
• The age gap between the spouses

Work At Least 35 Years

Your benefit amount is calculated by the Social Security Administration (SSA) based on your lifetime earnings. If you started working late or had periods of unemployment, then those years are counted as zero. It is best to correct irregular income early in your career; this way, you will be able to increase your average monthly earnings, which will help you to increase the social security benefit amount.

Limit Your Taxes             

Depending on the combined income and tax filing status, some beneficiaries have to pay taxes ranging from 50 to 85 percent on social security benefits. It is best to spread out the income over a period of years so that you don’t receive all at once is a way to limit the taxes.

Take Help of a Lawyer

It is best to take the help of a lawyer in social security planning. There are areas that you might not be aware of, but the lawyer who has significant experience in the field will help you out so that you get the maximum benefits.

Can Same-Sex Spouses Avail Social Security Benefits?

As per current law, same-sex spouses can avail social security benefits if the state where they live recognizes the marriage as valid.

Final Words

Social security benefits are an important part of your retirement plan. The above points are helpful in maximizing your benefits. It is a must to educate yourself about the available benefits. You can take the help of an attorney for social security planning; it will eliminate the burden and will offer the right solution.