Social Security - Early Benefits

Question 0

Why can’t most people take early benefits at exactly age 62?

Answer 0

Because you must be 62 for a full month. Therefore most people become eligible at age 62 and 1 month.

Question 1

What are the monthly reductions for primary and spousal benefits for taking early benefits?

Answer 1

Primary
For first 36 months, 5/9th of 1% (.0056)
For months in excess of 36, 5/12th of 1% (.0042)

Spouse
For first 36 months, 25/36th of 1% (.0069)
For months in excess of 36, 5/12th of 1% (.0042)

Question 2

For a primary and spouse, what is the total benefit reduction for taking benefits at age 62?

Answer 2

FRA = 66
Primary - 25%
Spouse - 30%

FRA = 67
Primary - 30%
Spouse - 35%

Question 3

T or F - benefit reductions are calculated based on monthly age increments.

Answer 3

True.

Question 4

T or F - You must be age 62 for a full month before you are eligible for SS

Answer 4

True. You become eligible until you are 62 and one month years old.

Question 5

T or F - The standard rules used to calculate spousal early benefits assume that the spouse has no work record of her own.

Answer 5

True

Question 6

What is the formula for determining early spousal benefits if the spouse has his/her own work record with a PIA less than the primary?

Answer 6

A