Social Security is extremely crucial for the financial health and status of the people staying in America. Despite it being very important for US citizens, this also happens to be a very complicated program. The manual is filled with rules, which are not clear and they can confuse people. Thus, it is not at all surprising to find that millions of people tend to make mistakes while dealing with Social Security that ultimately let them spend a lot of money.
The one mistake in Social Security, which a number of people make and that can prove to be quite costly. A confusing part of Social Security is how can one deal with the own retirement benefits of an individual, with the benefits that he is entitled to receive as the spouse of another recipient of Social Security. Usually, when a spouse is alive, one can receive a greater portion of what one’s own retirement benefit would be. One is not allowed to claim one benefit while allowing another to grow constantly. At the death of a spouse, the Social Security benefits change and survivor benefits come into play. This gives a person the right to collect an amount based on what one’s spouse was receiving in retirement benefits at the time of death.
Now, if one looks to claim both the benefits without waiting for the future, survivor benefit as well as the retirement benefit would get reduced to account for filling the benefits early. The ideal way to get the maximum benefit is to wait till attaining the age of 70 years and get $2048 per month as part of delayed retirement benefits. So, it is important for people to not make this mistake, which can let you lose out on thousands of dollars.
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