Social Security family maximum with minor kids - calculated on early retirement or FRA benefit?

The family maximum is calculated based on your Primary Insurance Amount (PIA), which is the benefit amount you would receive at your full retirement age - not your reduced early retirement benefit. This is good news for you and your children. However, your children's individual benefits are calculated based on your actual benefit amount. Since you're taking benefits early at 62, your children will receive benefits based on your reduced amount. Each child can receive up to 50% of your PIA, but this will be reduced proportionally to how much your own benefit is reduced. So if your FRA benefit would be $2,600, but you're taking $1,780 at age 62 (about 68.5% of your FRA amount), your children's benefits would also be affected by that reduction. Instead of each potentially getting $1,300 (50% of your FRA amount), they'd get around $890 each (50% of your actual benefit). But the maximum family benefit would still be calculated based on your PIA at full retirement age, not your reduced benefit.

i was in simlar situation last yr with my grandkids. SSA tells you one thing on phone then different at office!!!! So frustrating!! my granddauter ended up with less than they first said. watch out for that family max, its confusing and they NEVER explain it right.

From what i understand Family maximum is like 150-180% of your FRA benefit. not your reduced benefit. But dont quote me on the exact percentage lol. My brother in law claimed at 62 with 3 kids and they all got benefits but less than if hed waited till FRA.

Has anyone successfully reached SSA to get an official calculation??? I spent 2 HOURS on hold last week trying to ask about my disability application and then got disconnected!!! This is ridiculous how they treat us after we've paid into the system our whole lives!!!

To address your specific questions more precisely: 1. Family Maximum Calculation: This is based on your Primary Insurance Amount (PIA) - which is your benefit at Full Retirement Age - NOT your reduced early retirement benefit. This is established in SSA regulations under 20 CFR § 404.403. 2. Children's Benefits Calculation: Each child is eligible for up to 50% of your PIA, but since you're claiming early, their benefits are proportionally reduced based on your actual benefit amount. Here's a simplified example using your numbers: - Your PIA (FRA benefit): $2,600 - Your reduced benefit at 62: $1,780 (about 68.5% of PIA) - Each child's benefit would be: 50% × $1,780 = $890 The family maximum might be around 175% of your PIA, so approximately $4,550. The total family benefits ($1,780 + $890 + $890 = $3,560) would be under this maximum, so no additional reductions would apply. I recommend requesting a detailed benefits calculation from SSA for your specific situation.

To answer your follow-up question: Since your children will age out of eligibility before you reach your FRA at 67, there might not be a significant advantage to waiting if your primary concern is maximizing their benefits. By claiming at 62, you'll receive your reduced benefit of $1,780, and each child will receive approximately $890. If you waited until FRA, you'd get the full $2,600, and they'd each get $1,300, but they would receive these higher amounts for fewer years or not at all depending on exactly when they turn 18 (or 19 if still in high school). Given your son's medical expenses, claiming early might make more financial sense for your family's current needs. Just be aware that your own benefit will remain permanently reduced even after your children are no longer receiving benefits.

I've been through this exact situation! My advice is to also check if you qualify for any state assistance programs for your son's medical expenses since those benefits will stop when he turns 18. Many states have programs that can help bridge the gap between when SS benefits end and when kids might qualify for other assistance. Also, make sure to get everything in writing from SSA - don't rely on phone conversations alone. I learned this the hard way when they gave me incorrect information about my daughter's benefits and I had to fight to get them corrected later. One more thing to consider: if you're planning to work while receiving early retirement benefits, be aware of the earnings test. If you earn more than the annual limit, they'll reduce your benefits temporarily. This also affects your children's benefits.

For 2025, the earnings limit is $23,400 annually if you're under full retirement age. The earnings test applies to YOUR individual benefit - if you earn over this limit, they reduce $1 of your benefit for every $2 you earn above the threshold. Here's the important part: when your benefit gets reduced due to the earnings test, your children's benefits are also proportionally reduced since theirs are based on your benefit amount. So if your benefit gets cut by 20% due to earnings, your kids' benefits also get cut by 20%. However, this reduction is temporary! Once you reach full retirement age, they'll recalculate your benefit and give you credit for the months when benefits were withheld due to earnings. Your benefit will be permanently increased to account for this. Unfortunately, your children won't get this "payback" since they'll likely have aged out by then. So if you're planning to do consulting work, you'll want to be very careful about staying under that $23,400 limit, or the family could see a significant reduction in total monthly income right when you need it most for medical expenses.