What you need to know about social security and family law

1. Social Security and Family Law
BY NEIL H. GOOD

2. Disclaimers
 SSA can change the rules without
congressional approval
 A million little rules
 Within 7 years of divorce need to be disabled
 If receiving widow benefits can’ t receive disability
on the same ex-spouse’s earnings record
 End of 2011 forced claimants to either appeal or
re-file
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3. Three Social Security Programs
Title 42 of the US Code
 Social Security Retirement-SSR
 Social Security Disability-SSD-Title II-
 For Client’s whose ex- spouse Worked
 Supplemental Security Income – SSI-Title XVI
 For Clients that didn’t work-setoffs
 Spouse never worked
 Not married 10 years
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4. Social Security Retirement
 Must be of proper age
 62 – 63 early retirement
 Reduced 30% at 62, 25% at 63, 20% at 64,
 13.3% at 65, 6.7 at 66
 Penalty $1.00 for every $2.00 earned
 66-67 full retirement age (FRA)
 No penalty for working
 Delayed retirement up to age 70
 8% increase per year
 Must have 40 quarters of credit in lifetime
 2012 1 quarter of credit was earned on $1,130
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5. Full Retirement Age
1943--1954 66
1955 66 and 2 months
1956 66 and 4 months
1957 66 and 6 months
1958 66 and 8 months
1959 66 and 10 months
1960 and later 67
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6. Divorced Spouse Retirement
 Married at least 10 years
 Ex-spouse is entitled to SS retirement/ssdi
 Claimant is at least 62 years old
 The claimant is not married
 Second Marriage could have been but ended in death
or divorce
 Amount is 50% of ex-spouse at FRA
 Claimant’s own benefits are less that
50% of ex-spouses
 Current spouse must wait until spouse is retired
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7. Full Retirement Age
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
Year of Birth* Full Retirement Age
1937 or earlier 65
1938 65 and 2 months
1939 65 and 4 months
1940 65 and 6 months
1941 65 and 8 months
1942 65 and 10 months
1943--1954 66
1955 66 and 2 months
1956 66 and 4 months
1957 66 and 6 months
1958 66 and 8 months
1959 66 and 10 months
1960 and later 67

8. Social Security Retirement
& Medicare
 Must be age 65
 If delay retirement, don’t delay applying for
Medicare
 Life long Medicare increase for delay applying
past age 65
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9. Social Security Retirement
 Annulments no benefits even after 10 years
 Divorce advantages
 Multiple 10 year marriages
 Divorced spouse gets to pick the highest one
 Divorced spouse only has to wait for entitlement
 Current spouse must wait until spouse is collecting
his benefits
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10. Social Security Retirement
 Surviving divorced spouse
 Must be age 60 or older
 Not re-married
 The surviving divorced spouse gets 100%
 Married surviving spouse (widow/widower)
 Over age 60
 Married 9 months
 Married surviving spouse gets 100%
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11. Social Security Disability
 Qualify on your own record
 Qualify on a divorced spouse record
 Married at least 10 years
 Disabled by Social Security’s definition
 Ex-spouse worked 40 quarters
 Ex-spouse is disabled, retired or deceased
 Not worked in the last 5 years
 Over age 50
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12. Child Support
 SSD or Retirement, not for SSI
 Auxiliary Benefit
 Subject to the family maximum (FAMMAX)
 Retirement if divorced and child is under 18
 Paid to the custodial spouse
 Paid directly with a support order
 Paid once a month
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13. SSI for Ex-Spouse
 The claimant has no worked in last 5 years
 Divorced, separated and living separate
 The claimant was not married for 10 years
 Ex-spouse is not entitled to SSD or SS
retirement because not disabled, deceased or
retired
 The claimant cannot have more than
$2,000.00 in assets(1 car is excluded)
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14. SSI for ex-spouse
 Current Max is $698.00
 No auxiliary benefits for family members
 Set off apply
 Claimant must be disabled
 No 5 month delay in benefits
 This does not include Medicare only Medicaid
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15. SSI and MSA
 No set off for SS retirement or SSD
 Child support is set off 1/3
 Maintenance is 100% deducted
 Many others
 Rent free
 Link card
 In-kind contribution
 Need loan agreement
 Deeming
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16. MSA Planning SSI Only
 If under 50 plan for change when claimant
turns 50 if the spouse is retired or disabled
 Pay the bills directly instead of paying money
directly to the claimant
 To be safe put it toward the child expenses
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17. Social Security Limits
 2014 Coast of Living Adjustment(COLA) 1.5%
 Maximum you pay SS Tax on $117,000.00
 Maximum SSR and SSD $2,642.00
 FAMMAX $3,693.00
 Maximum SSI is $6721.00
 Earning for a quarter of credit $1,120.00
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