“When you pass away, do your Social Security checks go away too?”

If you’re like most people, you’re dreaming of the day when you’ll no longer have to spend hours sipping lukewarm coffee during horrific commutes, when you can finally kiss your job (and maybe your boss) goodbye and enter your golden years. If so, ensure your retirement planning includes Social Security Survivors Benefits.

In 2023, workers gain one Social Security and Medicare credit for every $1,640 in covered earnings. You must earn at least $6,560 to receive the maximum credits (4) for the year. Many people earn more credits than they need to qualify for benefits.

How do Social Security Survivors Benefits credits work?

The number of credits needed for survivors’ benefits varies depending on your age when you die. If a person dies at a younger age, they’ll require fewer credits for their family to receive survivors’ benefits.

Also, when a worker dies, the Social Security Administration could award survivors’ benefits to the children and the surviving spouse caring for them. This disbursement might happen even when a worker doesn’t have sufficient credits. If the deceased has at least one and a half years of work credit, the rules allow survivors to receive benefits. i

If there is no surviving spouse, payments might go to a child deemed eligible for benefits. Because everyone’s situation is unique, it’s wise to consult a Social Security expert or claims representative who can clarify the rules and show you your options.

Which family members are eligible for payments?

  • Your widow or widower age 60 or older. If the surviving spouse is disabled, they may be able to get benefits starting at age 50.
  • In certain strictly defined instances, a surviving former husband or wife could receive benefits.
  • A widow or widower of any age caring for a child who’s under age 16. This rule may also apply to those caring for older, disabled children.
  • Your unmarried kids aged 18 or 19 who are full-time students.
  • If you have a disabled child 18 or older and that disability started before they turned 22, that child may qualify.

What do you do when a family member passes away?

According to the Social Security Administration (SSA), you cannot report a death or apply for survivors’ benefits digitally. Instead, you need to contact Social Security and your trusted financial advisor immediately.

If you’ve provided the funeral director with the deceased’s Social Security number, they may assist you by reporting the death to the SSA. Often, dealing with rules, regulations, and timelines is frustrating in the wake of a loved one’s passing. For this reason, you may want or need to speak with a Social Security representative directly, either in person at your local SSA office or by phone at 1-800-772-1213.

Don’t cash that check!

If you were already getting benefits when you died, your survivors must return any benefits they may have received for the month of death or any later months. For instance, if you passed away in September, your loved ones must return any benefits paid in October. Be sure your family understands they should not use any benefits received for the month you died or later.

Katie’s Comments:    Social Security has multiple rules, regulations, and deadlines, especially regarding Social Security Survivor Benefits. These rules can be confusing and overwhelming. Sitting with a qualified Social Security expert and charting your options makes sense. You’ll want to create a game plan you can share with your family so they know what to do when you or your spouse dies.