A measure was approved by the House and passed by the Senate near the end of 2015 to bring three popular Social Security claiming strategies to an end:
- File-and-suspend: When a spouse reaches full retirement age, he/she may file for Social Security benefits and immediately suspend them until age 70 to continue accruing delayed retirement credits.
- Filing for a restricted claim of spousal benefits: When a spouse reaches full retirement age and has yet to file for any benefits, he/she may file a restricted application which allows him/her to claim spousal benefits if the other spouse has already filed for benefits.
- Retroactive Lump Sum Payments: A person with suspended benefits may elect to request payments retroactive back to their filing date.
What do these changes mean to you? That is what we address in today’s post.