Social Security - File and Suspend

A claiming strategy that unfortunately is no longer available to new social security applicants is the “file and suspend” strategy. If you were at least 66 years old and "filed and suspended" your benefits before April 29, 2016, you are grandfathered-in. The rule no longer applies to anyone who did not file and suspend by April 29, 2016.

How it works

A person who had reached full retirement age decided to file for their benefits. The “filing” triggered available benefits for the worker’s eligible spouse and dependents. That is no longer available as spousal or dependent benefits cannot be received unless the worker is also receiving benefits. Then the person would “suspend” their benefits which would allow their own retirement benefits to increase by 8% a year until age 70. The increased amount at age 70 and the larger survivor benefit was earned while others were able to receive “auxiliary” benefits from your working record.

Although the claiming strategy is no longer available, there are planning strategies for those who are currently grandfathered into this favorable strategy.

Carr Wealth Management, LLC, specializes in identifying the most suitable strategy that is tailored to your unique needs. Please contact us to schedule a no-charge initial consultation or if you simply have a question about Social Security or other financially related planning areas.

Click Here for File and Suspend Example

Click Here for Main Social Security Planning page