When most people think about Social Security, they think in individual terms.
You work. You contribute. You collect.
On the surface, it feels straightforward.
But in practice, some of the most meaningful planning opportunities I see have little to do with your individual benefit alone. They live in the coordination between spouses, in survivor decisions, and sometimes even in benefits connected to a former marriage.
Social Security is not purely an individual asset. It’s often a family asset.
And when it’s approached thoughtfully, it can, in certain situations, increase projected lifetime income, without requiring additional investment risk or changing your portfolio.
I recently recorded a Retirement Blueprint episode on this topic, walking through how spousal, survivor, and divorce benefits actually work. In this article, I want to expand on those ideas for readers who prefer a more detailed written explanation.
*This material is for educational purposes only and does not constitute personalized financial advice.
One of the most common planning mistakes I see is viewing Social Security in isolation.
Each spouse looks at their own statement. Each person focuses on their own claiming age.
But Social Security was designed with families in mind.
When decisions are coordinated, particularly in married households, the outcome can look very different than when each person simply claims at their earliest opportunity.
The key question becomes, are we optimizing for the individual… or for the household over time?
That shift alone can meaningfully change retirement income projections.
Spousal benefits are one of the most misunderstood parts of the system.
If you are married and your spouse has a higher earnings record, you may be eligible for up to 50% of their Full Retirement Age (FRA) benefit.
It’s important to clarify what that means.
It’s 50% of their benefit at Full Retirement Age, not 50% of what they receive if they delay until age 70. Delayed retirement credits apply to their own benefit, but not to the spousal calculation.
For households where one spouse earned significantly more, or where one spouse stepped away from the workforce for caregiving, this provision can create meaningful income.
If both spouses worked, Social Security will pay the higher of:
They are not stacked together. But timing still matters. Coordinating when each spouse claims can influence both current cash flow and long-term security.
Survivor benefits are where coordination becomes even more important.
When one spouse passes away, the surviving spouse keeps the higher of the two benefits.
If one spouse is receiving $2,000 per month and the other $3,000, the survivor continues with the $3,000 benefit.
This means the higher earner’s decision to delay benefits can significantly affect the surviving spouse’s long-term financial stability.
In many cases, delaying the larger benefit is not just about maximizing income while both spouses are alive. It’s about strengthening the foundation for whoever lives longer.
That’s a different framing than most people are used to.
It turns a personal claiming decision into a form of income protection planning.
Divorce benefits are less commonly discussed, but they can be impactful.
If you were married for at least 10 years, have been divorced for at least two years, and are currently unmarried, you may be eligible to claim a benefit based on your former spouse’s earnings record.
Important items to note:
Claiming on an ex-spouse’s record does not reduce their benefit.
For many individuals, particularly those who paused careers for family responsibilities, this can provide a level of stability they didn’t realize was available.
The rules are specific, and timing considerations still apply. But the opportunity exists, and many people simply aren’t aware of it.
*The following example is hypothetical and for illustrative purposes only.
In the recent episode, I shared the story of Susan, who lost her husband unexpectedly at age 62.
She was eligible to begin a survivor benefit immediately, but her own benefit would continue to grow if she delayed.
Instead of choosing one permanently, we coordinated both.
She began receiving the survivor benefit for immediate income, while allowing her own benefit to grow with delayed retirement credits. Several years later, she switched to her own maximized benefit.
Over her lifetime, that coordinated approach, in this illustration, increased projected lifetime benefits by more than $70,000 based on specific assumptions, without requiring additional investment risk.
The outcome wasn’t the result of a complex product. It came from understanding how different benefit types interact.
* Actual results will vary based on individual circumstances, longevity, and future Social Security regulations.
For many households, Social Security represents one of the few sources of government-backed lifetime income in retirement.
When viewed strategically, it becomes more than a monthly deposit. It becomes a lever that can influence:
Like any planning decision, the right strategy depends on your broader financial picture, including other assets, tax considerations, health, and income needs.
But ignoring coordination opportunities can result in lower projected lifetime benefits in some cases.
If you’re approaching retirement, or are already there, consider these questions:
These are not decisions that should be rushed. But they are decisions that deserve thoughtful review.
Social Security planning isn’t about chasing the “perfect” claiming age.
It’s about understanding how different benefit types work together and aligning those rules with your broader retirement objectives.
When you treat Social Security as a coordinated family asset rather than an individual entitlement, new planning opportunities often emerge.
If you’d like a more conversational walkthrough of these strategies, including real-life examples and timing considerations, I encourage you to watch the full Retirement Blueprint episode that accompanies this article.
And if you’re curious about how these rules apply specifically to your situation, an educational conversation with your advisor can help clarify your options and identify planning opportunities tailored to your goals. Schedule a conversation if you’d like to review your specific circumstances.
GDS Wealth Management is a registered investment adviser. Registration does not imply a certain level of skill or training. This material is provided for informational and educational purposes only and should not be considered personalized investment, tax, or legal advice. Social Security rules are complex and subject to change. Eligibility and benefit amounts vary based on individual circumstances. Any examples discussed are hypothetical and for illustrative purposes only. Projected benefit amounts are estimates based on assumptions and current regulations and are not guaranteed. Actual results will vary. Before making any Social Security claiming decisions, individuals should consult the Social Security Administration and their financial, tax, or legal professional regarding their specific situation. For more information about our services, fees, and important disclosures, please visit www.gdswealth.com.