Retiring at different times could pose some challenges.
People who are married often do many things together, like travel and socialize. But retiring isn’t always one of them.
It may be that your spouse loves their job, and you’re not a fan of yours. So while they may be inclined to keep working, your preference may be to tender your resignation and kick off retirement. Or, it may be that you’d like to keep working, but your company is folding, and you don’t want to start over elsewhere.
No matter why you’re looking at retiring well before your spouse, doing so could cause some issues. Be aware of the following hiccups if you’re going this route.
1. You can’t claim a Social Security spousal benefit until your spouse signs up
It may be that both you and your spouse are eligible for benefits from Social Security, but your spouse is the much higher earner of the two of you. In that case, claiming a spousal benefit could leave you with a higher monthly paycheck — one that allows you to enjoy your retirement to the fullest.
But if you’re married, you can’t claim a spousal benefit until your spouse files for Social Security. And if they’re not yet retired, they may not be inclined to do that. That’s because waiting to claim Social Security results in a boosted benefit, up until the age of 70, at which point there’s no financial advantage to delaying.
Of course, having to settle for your own smaller benefit for a few years may not be so problematic. But it’s a snag you might hit nonetheless.
2. Conflicts could arise over your spending
Once you retire, you’ll need things to do. And keeping busy may require you to spend extra money.
But that’s something your spouse may not end up so happy about if they’re still toiling away at a job. And continued arguments over spending could set the stage for unwanted strife, even if you’ve had a relatively conflict-free marriage so far.
3. You might deprive your spouse of health insurance
Even in households where both spouses work, it’s sometimes the case that only one spouse’s job provides health insurance. It may be that you’re retiring ahead of your spouse and are eligible for Medicare, so you don’t have to worry about health insurance for yourself.
But your spouse may not be old enough for Medicare yet. And if so, your retirement could leave them without health coverage.
Sit down and talk things through
Clearly, retiring way ahead of your life partner has the potential to cause some problems. So before you go that route, sit down and talk things through together.
Figure out a reasonable strategy for claiming Social Security that works for both of you, and come to an agreement about spending. And explore options for health coverage if you’re getting on Medicare and your spouse can’t do that just yet.
It’s best to go into retirement with the support of your spouse, even if they’re not yet in the same boat. And talking things through could help you both avoid a world of stress and conflict.
