I am 67 and currently receiving my social security benefit. I am considering marriage to a woman age 50 and wonder how it change SS
The woman has a 7 year old daughter and I would adopt her daughter.
Answers | 2
In the case of your spouse age 50 the option to file a restricted application for a spousal benefit at her full retirement age and allow her own benefit (if she has one) defer to age 70 has been eliminated.. Anyone under age 62 by January 1, 2016 can not take advantage of this.
Saying that if you are married and do have a child it is possible for that your child up to age 18 or 19, if still in high school, to receive a benefit equal to 1/2 of your PIA benefit. Primary Insurance Amount benefit at your full retirement age.
I would add that if you do marry this woman and adopt her daughter, then I highly recommend that you get with a really good Financial Advisor before you do it. Things to consider and talk about:
1. Consider contributing a substantial portion of the Social Security you receive for her into a 529 College Savings Plan and also to a savings and/or retirement account for you and your wife. This assumes a lot of things about your financial condition which are not known at this time, but if you are getting by financially now, this new SS money will be a windfall. If your adopted daughter is likely to go to college, the timing will see you at age 78 and your wife-to-be at 61. You won't be spring chickens and may not be able to help her with college expenses, which are increasing at about twice the inflation rate. I suggest you put some serious money into this account now, along with your retirement account and do your very best to not spend this money on living expenses.
2. Since you are 17 years older than your wife, and women generally live longer than men, it is not hard to imagine your wife living as a widow for a good bit of time. If that happens, the smaller SS payment will cease at the moment you cease. Your family income and/or assets need to be sufficient to fund that time period, including the effect of the reduction in SS benefits. You need to get with a Financial Advisor and look at your situation. You may need some life Insurance and also Long-term Care Insurance - especially for your wife-to-be. This insurance would be expensive for you, especially the traditional type of policy. Hybrid policies which combine either Life Insurance or Annuities may be better. Once again, a good Financial Advisor can help you here.
Good luck! Congratulations!