Confused about spouse getting 50% of husband's Social Security while he still gets full amount - how does this work?

This is absolutely normal and how spousal benefits are designed to work. Your neighbor is receiving what's called a "spousal benefit" because it's more than what she'd get based on her own work record. The key facts: 1. When a person files at their Full Retirement Age (FRA), they can get up to 50% of their spouse's Primary Insurance Amount (PIA) 2. The working spouse's benefit is NEVER reduced when a spousal benefit is paid 3. The spouse with the lower benefit doesn't need many work credits - just 40 quarters (10 years) to qualify for their own benefit, but can get spousal benefits with no work history at all If your neighbor worked only 5-7 years, her own benefit would be very small. Social Security automatically pays the higher of either her own benefit or the spousal benefit (but not both).

my parents have this same setup!! mom gets half of dads ss even tho she was mostly stay at home. its a great deal if you ask me! the gov't actually does something right for once lol

To answer your follow-up question - if either spouse claims before their Full Retirement Age (FRA), there are reductions: 1. If the working spouse claims early, their benefit is permanently reduced, which also reduces the maximum spousal benefit (since it's based on 50% of the worker's PIA) 2. If the spouse claiming spousal benefits files before their own FRA, their spousal benefit is reduced (approximately 25% reduction if claiming at 62) Since both your neighbors are 67, they're both at or past their FRA (which would be 66 and a few months for their birth years), so they're getting the maximum possible amounts.

I think I can explain why this seems confusing. You're mixing up two different Social Security concepts: 1. Spousal benefits: One spouse can get up to 50% of the other's benefit amount without reducing the working spouse's benefit at all. This is what your neighbors have. 2. Family maximum: There's a cap on total benefits paid to a family on one worker's record, but this mainly applies when there are children or multiple dependents involved, not just a spouse. The spousal benefit was designed specifically to help families where one person (historically often women) stayed home or worked less to raise children. It recognizes the non-financial contribution to the family.

My sister tried to do this but they told her she couldn't get the spousal benefit because she had a pension from teaching. Something called WEP or GPO I think? Really unfair!

I had an awful time trying to sort this out with SS myself. Spent weeks trying to get through on the phone just to ask questions about spousal benefits. Wait times were insane! Finally found this service called Claimyr that got me through to a real person at SSA in under 30 minutes. Was so relieved to finally get answers! Check out their demo at https://youtu.be/Z-BRbJw3puU if you're struggling to reach someone at Social Security. Their website is claimyr.com - saved me so much frustration when I was trying to file for my spousal benefits.

There's another important point about spousal benefits I don't see mentioned yet. If the spouse with the lower benefit amount has ANY work history, Social Security will pay their own benefit first, then add enough of the spousal benefit to reach the 50% mark. For example, if your neighbor earned enough for a $400 monthly benefit on her own record, and her husband's benefit is $2,500, she'd get: - $400 (her own benefit) - $850 (spousal benefit - enough to reach $1,250, which is 50% of $2,500) Total: $1,250 She doesn't get both benefits added together. It's her own benefit PLUS enough spousal benefits to reach the 50% threshold.

Something nobody has mentioned yet - if your neighbor's husband dies before she does, her benefit would increase. As a widow, she would be eligible for 100% of what he was receiving (instead of the 50% spousal benefit). This is called the survivor benefit and is another way Social Security protects spouses who have limited work history of their own. Just something to keep in mind about how the program works overall.

Thank you all for the helpful explanations! This makes so much more sense now. It's amazing that married couples can really maximize their benefits this way. My husband and I are both approaching retirement age and I worked part-time for many years, so I'll definitely be looking into whether the spousal benefit might be better for me. Feeling much more confident about our retirement planning now!