Waiting until age 70 to file for Social Security retirement benefits is a popular strategy for maximizing retirement income. For many in their 60s, however, that can be a long time to wait.

Fortunately, there’s a not-so-well-known strategy that some married Baby Boomers can use to generate a modest income now from Social Security while continuing to wait for the bigger monthly checks starting at age 70.

The secret is to file what is referred to as a restricted application with the Social Security Administration. It allows you to draw spousal benefits while continuing to delay the start of your own Social Security benefits.

Unfortunately, this strategy is time-sensitive and is only available to a limited pool of married seniors in their 60s.

What ls the Restricted Application and Who Qualifies?

The restricted benefit used to be available to most married filers, but beginning in 2016, the use of restricted applications was phased out, except for those born prior to Jan. 2, 1954. If you were born prior to that time and haven’t yet filed for your own benefits, then you need to read this article carefully. It could put more money in your pocket each month up to age 70.

If you are at least 62 and haven’t started receiving your Social Security yet, you probably know that for each year you leave it alone, up to age 70, your eventual monthly benefit grows by 8 percent annually. For example, if your Social Security monthly benefit at full retirement age (for those born between 1943 and 1954, full retirement age is 66) is $1,800, then waiting to age 70 to start drawing it would result in a monthly check of $2,376, a 32 percent higher amount. For some filers, that’s a strong incentive to not claim their retirement benefit until you reach 70.

Thanks to the restricted application, for those lucky enough to still qualify, you can continue to delay claiming your own Social Security benefit but in the meanwhile enjoy receiving half of your spouse’s benefit, if certain conditions are met. Once you turn 70, you then file again with Social Security to begin receiving your own (larger) retirement benefit instead of the spousal benefit.

Requirements to Use This Filing Strategy

  • You must have been born before Jan. 2, 1954.
  • You must be at full retirement age, 66, and not yet 70.
  • You cannot have previously filed for your Social Security benefits.
  • Your spouse must have already filed for his or her benefits.

How It Works

To illustrate how the restricted application benefit works, let’s look at an example. Paul and Maria, a married couple, are both age 66 and are qualified for Social Security based on their work records. Maria recently filed to begin receiving her benefits, which are $1,200 per month. Paul wants to wait until age 70 to begin receiving his benefit, since it will grow from $2,200 per month now to $2,904 beginning at age 70 if he delays the start date. To generate extra monthly income now, Paul files a restricted application requesting the spousal benefit only. He will receive $600 per month (half of Maria’s benefit), or an extra $7,200 per year of income.* Once he turns 70, he will then file for his own benefit of $2,904 and stop drawing his wife’s spousal benefit.

Who couldn’t use an extra $600 per month in income?* Plus, if Paul begins receiving spousal benefits promptly at age 66 and continues until age 70, he will have received an extra $28,800 in benefits from Social Security!

But what if you are now 67 or 68 and just learning about the restricted benefit? You can still file for it, any time prior to age 70. It’s to your benefit, of course, to file as close to your 66th birthday as possible, but you can file later.

How To Apply

Online

The process for filing for spousal benefits is no different than filing for other Social Security retirement benefits. The simplest way is to file online at https://www.ssa.gov/benefits/retirement/. If you don’t already have one, you will also need to set up a mySocialSecurity account at https://secure.ssa.gov/RIL/SiView.action.

Completing the online application is not difficult, but it is critically important that you answer one question correctly in order to benefit from the restricted application. Under the heading, “When to start retirement benefits,” it will ask the following question, to which you must answer “Yes:” “If eligible for both retirement and spouse’s benefits, delay receipt of retirement benefit: Yes.”

While not required, you may also want to add a comment in the “Remarks” section toward the end of the application. You could write something such as “As noted in the application, I wish to restrict the scope of this application to spousal benefits only. I wish to delay filing for my own retirement benefit.”

One drawback of applying online or by phone is that you may have to mail supporting documentation to the Social Security Administration. When they request originals, they promise to return them, but fair warning, they don’t always follow through on that promise, at least not without a lot of fuss (and time-consuming conversations) on your part.

By Phone

You may apply by calling the Social Security Administration at 1-800-772-1213. Allow plenty of time, because you will likely be on the phone for an hour or more, including time spent waiting in line for the next representative to answer.

Social Security employees cannot advise you about your strategy or make recommendations. Their role is to ask questions and complete the form for you. As with the online process, make it crystal clear to the representative that you wish to delay filing for your own retirement benefits and that you wish to apply only for spousal benefits. Make sure they repeat this back to you.

In Person

You may file for benefits at your local Social Security office. It is usually advisable to call ahead and request an appointment. Like with the phone call, allow plenty of time. In especially busy offices, allow up to half a day. To avoid having to make a second trip, be sure to take documentation with you, including your Social Security card, an original birth certificate, and an original marriage license. If born outside the U.S., you will also need proof of citizenship.

Interested? Don’t Delay

With those born in the final qualifying year of 1953 now turning 66, the window of opportunity is closing on those grandfathered into this extra benefit. If you qualify, consult your financial advisers or start the application process as soon as possible. No one wants to pass up extra income for which they qualify.

A Word of Caution

Since the restricted application rules changed completely in 2016, be careful when doing Internet research on this topic. Many articles written prior to the rule change are still circulating on the web and in social media sites such as Pinterest. Do not let these outdated articles mislead you!

* Note: In the hypothetical example above, Paul’s spousal benefit came to $600 per month. In actuality, Paul would receive less. This is because his Part B Medicare premium will be withheld from his Social Security check. Since he was paying it anyway (assuming he enrolled in Medicare at age 65), this is a wash. Paul may also want to withhold for income tax, since depending on his and Maria’s total income, he may have to pay income tax on most of his Social Security earnings.

Sign up below to receive more information, ideas and inspiration about retirement, sent to your email box, free of charge.