What Are My Social Security Death Benefits
When a loved one dies, it can be a difficult and confusing time. One of the many things you may have to deal with is figuring out their Social Security benefits and how to claim them. Understanding these benefits and how they can make this process easier will make a difficult time for your family a little easier to navigate. Keep reading about Social Security death benefits and how to claim them. There are many misconceptions about the lump sum death benefit, burial benefits, survivors benefits, and other benefit payments from Social Security.
In most cases, the funeral director or funeral home will notify the United States Social Security Administration of a death. If the arrangements are not through a funeral home, your loved ones may be required to report the death directly. That can be done by following the directions on this page or going to your local Social Security office.
1. If you die, your spouse or minor children may be eligible for benefits.
Death is unpleasant for everyone but knowing that one’s eligible spouse or minor children may be eligible for a survivor’s benefit can provide comfort in these trying times. It is essential to know what benefits are available in this unfortunate situation and to ensure that any eligible family members are taken care of if the worst happens. Researching what your surviving family may be eligible for can help them successfully move on and show how much you still care even after death.
There are two types of survivor benefits. The first is the Social Security Lump Sum Death Payment. This lump-sum payment is payable to help offset funeral costs and other expenses at death. The amount, however, is not enough for a typical funeral home-managed service. The benefit amount to assist with final expenses and burial costs is $255 as of the time of this writing. This amount is payable as a lump sum if the spouse or dependent was either already receiving social security benefits on the worker’s record or became eligible to do so at the time of the person’s passing.
Often referred to as the Social Security burial assistance program or burial allowance, this lump sum payment is no longer large enough to accomplish that task. When making funeral arrangements, you should let the funeral director know if there will be difficulty paying for the funeral so that you can plan accordingly.
To receive this special lump-sum death payment, you must apply within two years of the date of death. The link to the online SSA-8 Form to apply for this one-time payment is found here.
The second is a continuation of the decedent’s social security retirement benefits. These are the monthly benefits a retiree or disabled person receives, generally paid in one monthly payment by direct deposit into the decedent’s bank account. At the time of death, you must return any payments received before death to the Social Security Administration. The SSA will generally withdraw these funds directly from the checking account that benefits are paid into. Do not sweep the cash out of this account until you are confident that all retirement benefits, including SSA, have been trued up and refunded.
The eligibility for the survivor’s benefit for retirement payments depends on your circumstances at the time of death. Generally, only certain family members are eligible for a survivor’s benefit. These eligible individuals include:
- An eligible surviving spouse aged 60 or older (age 50 or older if they have a disability).
- A surviving divorced spouse or former spouse, under certain circumstances.
- A widow or widower at any age caring for the deceased’s child under age 16 or has a disability and receiving child’s benefits.
- An unmarried child of the deceased who is one of the following:
- A minor child younger than 18 (or up to 19 if they are a full-time student in an elementary or secondary school).
- A disabled child age 18 or older with a disability that began before age 22.
2. You must have worked and paid into the Social Security system to qualify for death benefits.
Death benefits are a valuable resource available to those who have worked and paid into the Social Security system. They can be accommodating if you or your family ever need them. You have to qualify, though, which requires contributing your contributions to the system for it to be an option. The requirements are all outlined by the Social Security Administration, so be sure to carefully read through them to determine what is necessary for you or your family members to qualify. Doing so could provide greater financial security for loved ones if something happens.
Social Security eligibility is based on a credit system, where you receive one credit for every $1,510 of pay that you earn on which social security taxes are paid, up to 4 credits per year. To receive retirement benefits, you must accumulate 40 credits. However, if you pass away younger than retirement age or are collecting Social Security Disability payments, you may need fewer credits, depending on your age. A schedule of credits, age eligibility, and additional information on eligibility requirements may be found here.
3. Your loved ones will benefit when you die, depending on your earnings history.
One of the essential parts of preparing for the future is ensuring that our loved ones are taken care of, even after we’re gone. That’s why understanding the number of benefits your loved ones will receive upon your death is so important. When you pass away, your beneficiaries may be eligible to receive a survivor’s benefit from Social Security, which depends upon your lifetime earnings history.
The amount you will receive depends on your birth year, earnings, and retirement date. The full retirement age is increasing from 65 to 72 – and you should contact the Social Security Administration to ensure you understand the benefits you can expect on retirement and how your retirement date and eligibility might impact that payout.
The more you work and gain experience over the years, the greater confidence you can have in knowing that your family members will be supported after you’re gone. Understanding Social Security and other benefit programs can give you peace of mind knowing those closest to you won’t need to worry if something happens to you.
4. To apply for death benefits, contact the Social Security Administration.
Applying for death benefits through the Social Security Administration can be confusing and overwhelming after a loved one passes away. To receive these benefits, you must contact the Social Security Administration as soon as possible and provide the necessary paperwork. Often the funeral director or mortuary will contact SSA. However, if you are not using those services, you must contact them to report the death. That can be done by following the directions on this page.
It is helpful to put together all relevant documents before contacting them, including proof of the deceased’s identity and your relationship to them, their Social Security number, and the original death certificate. The Administrator will review your application, which may take some time due to increased demand due to COVID-19 changes.
Once granted, you should receive payments within six weeks of filing the claim. Knowing that you are supported and can access essential services during this challenging time can help ease some of your worries. The benefits will be backdated to the month of death and will generally be directly deposited into your bank account.
5. To apply for Social Security Death benefits, you must provide the deceased person’s social security number, date of death, and proof of relationship to the deceased.
Applying for Social Security Death Benefits can be a difficult and stressful task. It is essential to ensure that you have all the required materials when applying. This includes the deceased person’s social security number, date of death, and proof of relationship to the deceased. Having these items on hand will drastically reduce delays in processing your application. It is also essential that the information you provide is accurate and up to date, as any inaccuracies could make getting your benefits more complicated and potentially unsuccessful. Gathering these documents in advance will simplify the entire process and help you get the benefits faster.
If you or your spouse dies, your minor children may be eligible for death benefits from Social Security. To qualify, you must have worked and paid into the system. Your loved ones will receive benefits depending on your earnings history. To apply for death benefits, contact the Social Security Administration. You will need to provide the deceased person’s social security number, date of death, and proof of relationship to the deceased.
If you want more information on Social Security, Medicare, and other US Government retirement programs. In that case, you should pick up NOLO’s excellent guide, Social Security, Medicare, and Government Pensions: Get the Most Out of Your Retirement & Medical Benefits, by Joseph Matthews. Now in its 25th edition, you will get all the essential information you need in plain English to help navigate these challenging programs.
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