Angelica Roxas

US federal retirement benefits reflect individual earnings histories, not final household income; a qualifying spouse may receive up to half the worker's full retirement benefit.
Compare both spouses' benefit estimates at 62, full retirement age and 70; claiming early permanently reduces benefits, while delaying the higher earner's claim increases theirs.
For people born in 1960 or later, full retirement age is 67. A spousal benefit remains capped at half the worker's full retirement benefit.
The higher earner's claiming age can affect both spouses: A surviving spouse generally keeps the higher benefit, including eligible credits from delaying the worker's claim.
Build a retirement budget that includes housing, healthcare, taxes and health insurance premiums; consider pensions, savings withdrawals and how those withdrawals may make benefits taxable.

Three Numbers Before the Paycheck Stops

After retirement and before required withdrawals begin, lower-income years can offer US retirees an opportunity to convert traditional IRA funds at lower tax rates.
Converted amounts generally count as income, except for after-tax contributions. Earlier conversions also reduce the traditional IRA balance used to calculate future required withdrawals.
A qualified Roth IRA withdrawal is tax-free, including growth; it generally requires reaching age 59½ and meeting a five-year holding test for the account.
Retirees can consider filling a chosen tax bracket without entering the next one while accounting for potential health premium adjustments and taxes on retirement benefits.
Required amounts cannot be converted once distributions begin, and conversions cannot be reversed. A qualified professional can help retirees assess timing and conversion costs.