According to the SSA, (http://www.ssa.gov/pubs/EN-05-10007.pdf) if you receive a pension from a federal, state or local government based on work where you did not pay Social Security taxes, your Social Security spouse’s or widow’s or widower’s benefits may be reduced. Your Social Security benefits will be reduced by two-thirds of your government pension.
How can I instruct ESP to not grant, or grant at the reduced rate, spousal benefits under such a condition.
I am retired at age 62. I want to plan for level consumption. Since I am planning to defer social security until 70, I expect to draw more heavily on my retirement accounts until social security kicks in. In ESPlanner, the draw is the same each year. So my spending is less now and then spikes up when social security starts. How can I get a level plan?
Two years ago, on my 66th birthday, I filed for social security benefits and immediately suspended payments until I reach 70. On the same day my wife, who is two years older, filed to receive spousal benefits.
My wife is now 70 and has filed to receive benefits under her own account which will amount to an extra $400 a month over the spousal benefits she has been receiving.
I then asked our local Social Security office to receive spousal benefits myself until I reach 70 in mid-2015. I was told that this is not possible as I have already filed for my benefits back in 2011.