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Stanford University Economics Professor John Shoven on how to make the most from your Social Security Benefits in your retirement.
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Social Security the primary source of income for three quarters.
Of all unmarried retirees many of whom are single due to divorce.
Divorce can have a huge impact on retirement claims and most of us -- -- are not don't know what we're entitled to or how to maximize our benefits here with strategies.
Rob crone director of advisory client education of BlackRock investments rob welcome to the show so I -- all the numbers out in the intro here.
What should women in particular know about divorce.
And Social Security benefits well I think what they need to know is what all Americans need to know.
And that is the fact that we purchase Social Security.
In ignorance and other than that deduction -- -- your paycheck in a given users -- buyers manual about what you just started to buy.
And so at retirement when you go to redeem this benefit.
We're -- to not aware of the benefits you're entitled to.
Or how to redeem those in the letter every year right for an end in your mailbox that tells it.
What you learned and what you're eligible for what what's the missing link there.
Well two things you didn't get one this year actually so -- He decided that they're gonna save about.
I believe it's seventy million dollars and -- sending those out this year.
But when you did get them they really -- just summarizing.
What benefit you're entitled to it on your own record.
They really don't discuss in any meaningful detail.
The amount of money you might be able to collect off someone else's benefit and that's where for divorced individuals let's get to -- -- -- question we bright you in yeah which was.
What do you again I think it's primarily women humane had a source of income walk through all this -- who are very concerned about -- Social Security benefits.
What do they need to now so they need to know that if they were married to somebody else for at least ten years.
Once they reach 62.
And direct spouse reaches 62.
They're eligible for what's known as a spousal benefit which could be up to 50% of what -- next spouse was entitled to.
And when an ex spouse passes away -- as -- we're involved in their demise.
They could collect a survivor benefit which could be equal to 100%.
Of -- -- spouses that and and how do you claim that.
So you reach out to -- security need to do that through their website.
You can call them up they have an 800 number which is on that form.
Or there are many offices throughout the country you can either go down and meet with the -- or schedule an appointment which is what I'd recommend.
And we get a full hour with feminine erupted at a at a real conversation real -- let's look at said the types of Social Security benefits out there.
And -- paying into the system for at least ten years can get benefits.
Spousal currently married you mentioned this before survivor widow or widow were and then divorced after at least ten years and married -- See -- have to have some time in the marriage.
Before you can make these claims.
-- indeed.
If you're married to them currently you don't have to have as much time that ten year requirement really only comes in in the case of divorce.
What do you think people get wrong most often often about Social Security benefits well -- get two things wrong.
They're not aware of all those benefits most people are aware once they paid in for ten years they're eligible for their own.
But they really don't understand the opportunity clicked off of someone else and then related to that.
Our strategies that they can implement so.
You could for example with the -- and survivor benefits you could wait -- your full retirement age which for current retirees is 66.
You could collect that spousal benefit for four years and what happens during that four years as your own benefit.
Grows by 32%.
So then it's seventy you could switch over to that benefit which is now permanently larger.
And that's on explained in that statement that's not -- out of Social Security's website and so -- strategies like that the people really need to make.
Himself and then as you say what zero grow in -- which still the largest amount at 78 and so we think you're really maximizing your benefits and say suggests.
Taking what you see the fish in the hands.
Would.
Thanks so much for coming in tonight rob really appreciate your time tonight interesting information I know our viewers are are interested in this topic.
Many of them receiving Social Security benefits of thank you my pleasure thank.
