my aunt said u should also look at state taxes cuz some states tax SS and some dont!!! depends where u live

One strategy to consider for future years (won't help for 2024): if you have the ability to control income sources, you might be able to stay below the taxation thresholds. For example, taking distributions from Roth accounts (which aren't counted in the combined income formula) rather than traditional IRAs, or timing certain investment decisions. This requires advance planning but can reduce the tax impact on your Social Security benefits.

Has anyone here successfully appealed an SSA calculation? We're considering it because we still think there's an error in how they calculated our benefits with GPO and early filing reductions. The amounts just don't add up no matter how we do the math.

One other factor to consider: if your wife's FRA is 67 (born in 1960 or later), filing at 62 means a 30% reduction to benefits. But the spousal benefit reduction is actually calculated differently and can be higher - up to 35% if claimed at 62. So the full calculation is: 1. Take 50% of your PIA 2. Subtract 2/3 of her non-covered pension (GPO) 3. Apply the appropriate early filing reduction percentage based on her age when she filed 4. Factor in any COLA adjustments between her filing date and when spousal benefits began It's one of the most complex calculations in the Social Security system, and unfortunately, not all SSA representatives fully understand it. If you get your questions answered by someone knowledgeable, please share what you learn - it would help others in similar situations!

the whole wep/gpo thing makes me so mad!! why should we be penalized just becuz we worked for the government?? regular people don't have their ss reduced! there's actually a bill in congress to reform this but it never goes anywhere.

After reading through all the responses, I think your best strategy is: 1. Confirm your FERS service was fully covered employment (it almost certainly was) 2. Calculate your WEP-reduced benefit using the SSA's online calculators 3. Calculate 50% of your wife's PIA (which she can find on her Social Security statement) 4. Compare these amounts to see if spousal benefits would be higher 5. If spousal benefits are higher, consider when your wife should file Since you're already past FRA, you'll get the full spousal benefit (if eligible). Your wife's decision to file at FRA vs. age 70 should be based on your joint life expectancy and financial needs. If she delays until 70, her benefit increases by 8% per year, which also increases potential spousal benefits for you.

Thank you all for the incredibly helpful responses! I've made a list of questions based on your suggestions. One more thing - has anyone dealt with the lump sum retroactive payment? If I take the 6 months retroactive benefits, does that permanently reduce my monthly amount as if I had filed 6 months earlier? Or do I still get my full FRA amount going forward?

when i had my call they rushed me through everything and i forgot half my questions! write everything down ahead of time and dont let them rush you. if you have a spouse definitely mention that because they might not ask. good luck!!

lol why would anyone think they could get ss benefits at 57? thats not retirement age anywhere in the U.S system

To summarize what's been discussed and add a bit more clarity: 1. The earliest your husband could receive spousal benefits is age 62, with a reduction (approximately 30-35% less than at his FRA). 2. If he significantly reduces his work or stops completely at 57, this could affect his own future benefit calculation since SSA uses the highest 35 years of earnings. Low-earning or zero years could reduce his personal benefit. 3. The spousal benefit would be up to 50% of your Primary Insurance Amount (your benefit at your FRA), but is reduced if claimed before his FRA. 4. He will always receive the higher of either his own benefit or the spousal benefit, not both. 5. For survivor benefits, he could claim as early as age 60 if you predeceased him, with a reduction. At his FRA, he would receive 100% of your benefit. 6. If your husband is considering reducing work significantly at 57, you might want to evaluate other retirement income sources to bridge the gap until he can claim Social Security benefits.