Social Security for Divorcees Target

Divorce can change financial stability; 'Yet being informed about your entitlement to Social Security benefits as the former spouse of a Target employee may provide some comfort and security. As you wade through these maze of rules, review your options carefully to ensure a comfortable retirement,' says Brent Wolf of The Retirement Group.

Understanding how Social Security benefits work post-divorce is critical - especially for those previously married to Target employees. Seek out financial advisors to explain these options and optimize your Retirement benefits, says Kevin Landis of The Retirement Group.

In this article we will discuss:

1. Eligibility Criteria: Knowing the requirements for claiming Social Security benefits through your ex-spouse - including age and marital status - is important.

2. Benefit Calculation: How much Social Security benefits you get depends on how much your ex-spouse earned over 35 years.

3. Strategic Claiming: Post-divorce timing of Social Security benefits to maximize Retirement income based on research by the Center for Retirement Research at Boston College.

Divorce can create special financial challenges. If you were married to a Target employee for 10 years or longer, you can still get benefits through your ex-spouse if they remarried.

Social Security Administration lets you keep the benefits based on your ex's income if you remarry after age 60, 'she said.'

It has a few basic requirements. 62 or older. If you qualify, you need an ex-spouse who gets Social Security benefits. You must be eligible for less through your former spouse than on your own.

If you're under 60 and a Target customer, you must be single to qualify for an ex-spouse's benefits. Our Target clients over 60 who wish to remarry are welcome to do so. If you remarry after age 60, Social Security Administration lets you keep receiving benefits based on your former spouse's earnings.

Now consider quantity. How much money you get depends on how much your ex-spouse earned in average over 35 years. You receive fifty percent of the full retirement benefit of your ex-spouse. Be fearless if your ex-spouse is eligible for benefits but hasn't claimed them yet. You can still receive some spousal benefits if you are divorced for at least two years and your ex-spouse has not started Social Security yet.

These aren't the only important aspects of Social Security for divorcees - the interaction of the various Social Security rules is often confusing. Our Target customers experiencing this need to weigh their options.

Read our e-book here for more: https://retirekit.theretirementgroup.com/cultivating-social-security-benefits-ebook-offer

Added Fact:

A Report by Boston College Center for Retirement Research in 2021 said that claiming Social Security benefits could raise Retirement income for divorcees dramatically. The report says delaying the claim until full retirement age or beyond may mean higher benefits for divorcees, helping them maximize their monthly income in retirement. It points out that timing Social Security claims for divorcees is important to optimize retirement income.

Added Analogy:

As a divorce could divide up couple's assets, Social Security benefits could be split as well. Social Security for divorcees is like a joint bank account. You could have some of their benefits if you were married to a Target employee for at least 10 years - even if they remarried. It's like getting the interest on that shared account. Your share depends on what your ex-spouse makes - just like the interest on the account. And if your former spouse hasn't cashed in on the account yet, you still could get your share even if they haven't withdrawn any money. But the rules are complicated, so you might want to work with a professional to maximize your shared Social Security 'account' after a divorce.

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Sources:

1. Social Security Administration. 'Ex-Spouse Benefits And How They Affect You.' SSA , 8 Mar. 2021, www.ssa.gov/benefits/retirement/learn.html .

2. Social Security Administration. 'More Info: If You Had A Prior Marriage.' SSA , last modified 29 July 2022, www.ssa.gov/help/iClaim_marriagePrior.html .

3. Social Security Administration. 'Family Benefits.' SSA , www.ssa.gov/benefits/family/ .

4. Social Security Administration. 'POMS: RS 00202.005 - Divorced Spouse.' SSA , 23 Aug. 2023, policy.ssa.gov/poms.nsf/lnx/0300202005.

5. Social Security Administration. 'Will Remarrying Affect My Social Security Benefits?' SSA Blog , 17 Feb. 2025, www.ssa.gov/blog/2025/02/remarrying-affect-benefits.html .

What are the key benefits provided by Target Corporation's Personal Pension Account and Traditional Plan for employees approaching retirement, and how do these plans ensure financial security during retirement years? Understanding the synergy between these two plans is essential for retirees, as they work together alongside Social Security and personal savings to replace a portion of an employee's paycheck after retirement.

Key Benefits of the Personal Pension Account and Traditional Plan: Target Corporation's pension plan includes two components: the Personal Pension Account and the Traditional Plan. These plans work in tandem to replace a portion of an employee's paycheck during retirement. The Personal Pension Account provides pay credits and interest that accumulate over time, while the Traditional Plan uses a final average pay formula. Together with Social Security and personal savings, these plans help ensure financial security in retirement(Target Corporation_Dece…).

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Payment Options and Spousal Consent: Employees can elect different payment options, including the Single Life Annuity, which provides the highest monthly benefit and ceases at the retiree’s death, or the Joint and Survivor Annuity, which continues payments to a surviving spouse. To elect a non-spouse as a joint annuitant, spousal consent is required, and this must be notarized to ensure compliance with plan rules(Target Corporation_Dece…).

In what circumstances might benefits not be paid under the Traditional Plan, and what steps can employees take to ensure they remain eligible for their pension benefits upon termination of employment? Target Corporation's policy outlines several scenarios where benefits could be denied, making it necessary for employees to be proactive in understanding their rights and responsibilities concerning plan participation.

Circumstances for Denial of Benefits under the Traditional Plan: Benefits under the Traditional Plan may not be paid if an employee leaves before becoming vested (less than three years of service). Employees should ensure they meet the vesting requirements and maintain eligibility by avoiding termination before they reach the minimum service period(Target Corporation_Dece…).

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Plan Terminations or Amendments: In case of plan terminations or amendments, vested benefits are protected, and employees will receive their earned pension. If the plan is amended or terminated, Target ensures that vested benefits are distributed according to the plan's terms(Target Corporation_Dece…).

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Unused Vacation Time and Pension Calculations: Unused vacation time does not directly affect pension benefits but can be included in eligible earnings calculations that determine final average pay. Employees nearing retirement should consult with Target’s Benefits Center to understand how unused time may impact their overall benefits(Target Corporation_Dece…).

How can employees contact Target Corporation for assistance with their retirement benefits to address any questions or concerns they may have about their pension plans? Accessing the right resources and support is essential for employees to navigate their retirement benefits effectively. They can reach out to the Target Benefits Center at 800-828-5850 for more specific inquiries related to their personal circumstances. These questions aim to enhance employees' understanding of their retirement benefits, ensuring they are well-prepared for their transition into retirement.

Contacting Target for Pension Assistance: Employees can contact the Target Benefits Center at 800-828-5850 for assistance with their retirement and pension plans. This center provides support with any questions related to pension options, payments, and administrative requirements(Target Corporation_Dece…).

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For more information you can reach the plan administrator for Target at 10 South Dearborn Street 48th Floor Chicago, IL 60603; or by calling them at 1-800-440-0680.