Читать книгу Personal Finance After 50 For Dummies - Eric Tyson - Страница 38

Social Security can provide survivor’s benefits to your spouse and children. However, if your surviving spouse is working and earning an income comparable to yours, he or she is going to receive few to no survivor’s benefits. Also keep in mind that Social Security survivor’s benefits aren’t paid to a surviving spouse until he or she is at least age 60.

Prior to reaching Social Security’s full retirement age, or FRA, your survivor’s benefits get reduced by $1 for every $2 you earn above $18,960 (the limit for 2021). This income threshold is higher if you reach FRA during the year. For example, the Social Security benefits of those reaching FRA during 2021 are reduced by $1 for each $3 they earn above $50,520 until the month in which they reach FRA. (Check out Chapter 10 for more on FRA and Social Security benefits.)

If you or your spouse anticipate earning a low enough income to qualify for Social Security survivor’s benefits, you may want to factor them into the amount of life insurance you calculate in Table 2-1. For example, suppose your annual after-tax income is $40,000 and Social Security provides a survivor’s benefit of $15,000 annually. You calculate the annual amount of life insurance needed to replace like this: $40,000 – $15,000 = $25,000.

You also can set up a “my Social Security” account on the Social Security website (www.ssa.gov) that lets you obtain updated benefits estimates, verify your earnings, and take other actions. Or, you can contact the Social Security Administration (SSA) for the “Request For Social Security Statement,” Form SSA-7004, which gives you an estimate of your Social Security benefits. You can request this form on their website or by calling the SSA at 800-772-1213.