Ask Larry

I was hoping you can help me help my parents determine their best option. Here are the facts:

Dad - Born in July, 1951. Became sick (will have a reduced life expectancy) and began taking SS retirement benefits in January of 2017 (6 months before FRA). He gets 2,527/month

Mom - Born in January 1955. Had to stop working to take care of dad. She is very healthy and has parents alive in their 90s.
FRA Payment: 2,264
Age 62 Payment: 1,614
Age 70 Payment: 3,024

My opinion after some reading and research is it makes the most sense for her to NOT claim SS if they can survive and draw down savings. When dad passes, she would claim the widow benefit. Then at age 70 - she would switch to her own higher benefit.

I wanted to:
A) confirm if that is the appropriate strategy AND
B) determine what her widow benefit will be. Is it reduced XX% per month depending how early she begins receiving benefit before she is FRA? I also know it is further reduced because dad wasn't FRA when he began receiving benefits.

Thanks!!

Hi,

I'm sorry to hear about your father's illness.

Yes, if your father dies before your mother turns age 70 and she hasn't yet filed for her own benefits, she could file for widow's benefits and then switch to her own record at age 70. Her widow's rate would be equal to your father's reduced rate if she is within about 8 months of her full retirement age (FRA) when she starts drawing. If she becomes entitled before that, her rate would be reduced for age (https://www.ssa.gov/planners/survivors/survivorchartred.html).

Best, Jerry