For many Americans, Social Security serves as a financial lifeline during retirement. And whether you're single or married, those benefits may provide a large chunk of your income later in life. There are certain Social Security rules that married couples in particular need to be aware of. Here are three that may help you better plan for your retirement. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor.  ...

Core Insights - The article discusses the implications of choosing a "level income" pension option and its interaction with Social Security benefits, particularly in the context of retirement planning and survivor benefits. Group 1: Pension and Social Security Interaction - The "level income" pension option allows retirees to receive a higher monthly pension benefit until their Full Retirement Age (FRA) of 67, after which the benefit is reduced [2][5]. - The decision to delay taking Social Security benefits until at least FRA can be advantageous, as it preserves personal retirement savings and avoids locking in a permanently reduced Social Security benefit due to early claiming [5][7]. - The specifics of pension contracts can significantly affect how Social Security benefits can be claimed, with some contracts allowing for higher payouts only until age 62, while others extend benefits until FRA [6][7]. Group 2: Survivor Benefits Considerations - In the event of a spouse's passing before reaching FRA, it is possible to receive a Social Security survivor benefit based on the deceased spouse's record, even if the individual has not started their own benefits [3][4]. - There is an option to switch to personal benefits at age 67 or defer personal benefits until age 70 while continuing to receive the survivor benefit until then [3].

Core Insights - The decision on when to collect Social Security benefits is crucial for retirement planning, with early collection at age 62 providing a longer payment duration, while waiting until full retirement age (67 for those born in 1960 or later) can significantly increase monthly benefits [1] Group 1: Timing of Benefits - Individuals should not assume that age 62 or age 70 is the optimal time to take benefits, as only about 5% to 7% of people wait until age 70, while 20% to 25% take benefits at age 62 [2] - The decision should consider individual circumstances, including health status, work situation, and the financial needs of both spouses in a married couple [3] Group 2: Survivor Benefits and Break-Even Analysis - For couples, the age difference can influence the decision; for example, if the younger spouse is significantly younger, collecting at age 62 may be beneficial to secure survivor benefits before reaching the break-even point [4] Group 3: Changes in Social Security for 2026 - Starting in 2026, the earnings limit before benefits are affected will increase from $23,400 to $24,480, with a penalty of $1 withheld for every $2 earned if under full retirement age [5] - The earnings limit in the year one reaches full retirement age will rise from $62,160 to $65,160, with $1 withheld for every $3 earned [6] - A 2.8% cost-of-living adjustment (COLA) will be effective, although it will not reflect in checks until the following month [6] Group 4: Senior Tax Deductions - A new senior tax deduction of $6,000 will be available for individuals aged 65 or older starting in 2025, applicable regardless of whether they receive Social Security benefits [8] - For joint tax returns, couples can deduct $12,000 from their adjusted gross income (AGI), with a phase-out beginning at $75,000 for individuals and $150,000 for couples [9]

Core Insights - The Social Security Administration distributes benefits to nearly 74 million individuals each month, with payment schedules primarily based on beneficiaries' birth dates [1][7]. Payment Schedule - Supplemental Security Income (SSI) payments are issued at the start of each month, with adjustments made if the month begins on a weekend or holiday [3]. - In December, the payment schedule is as follows: - Dec. 1: SSI payments for qualified individuals [8] - Dec. 3: Retirement benefits for those who began receiving them before May 1997 [8] - Dec. 10: Retirement, spousal, and survivor benefits for those born between the 1st and 10th of any month [8] - Dec. 17: Benefits for individuals with birthdays between the 11th and 20th [8] - Dec. 24: Benefits for those with birthdays between the 21st and 31st [8] - Dec. 31: SSI payments for qualified individuals for January [8] Importance of Payment Timing - Understanding the payment schedule is crucial for Social Security beneficiaries, as they rely on fixed incomes to manage their budgets and financial obligations [4].