Retirement in any form can upend a couple’s relationship, but when both spouses used to work full-time and only one retires, that reconfiguration raises its own challenges and benefits.
How much money did a couple retire with?
The man and his wife, 62, never earned six-figure salaries individually, but managed to retire two years ago with just over $1.5 million in cash and investments.
What are the pros and cons of working after your spouse retires?
The ultimate answer is always the same. There’s no good universal option. Having employer provided medical coverage for our family solves this problem for us as long as my wife works and her employer offers this benefit. This may be the biggest advantage to having one spouse continue working after the other retires.
What happens to retirement funds if the heir is not a spouse?
If the heir is not a spouse, they must withdraw all the funds within 10 years of the original owner’s death. These withdrawals may be subject to income taxes.
Can a retiring spouse take social security while the other spouse waits?
One option is for the retiring spouse to take Social Security while the other spouse waits. “That’s why you run the numbers and give people a firm footing with data about whether it’s feasible,” Sullivan says.
Can a spouse return to work part time after retirement?
Sometimes, a spouse returns to work part time or full time after retiring, often cycling through various work arrangements before stopping permanently. Retirement also may be less of a choice than it appears.
Can a surviving spouse be the beneficiary of a qualified retirement plan?
For qualified retirement plans (but not IRAs) there are federal requirements that the beneficiary must be the surviving spouse unless the surviving spouse has consented in writing to the designation of another beneficiary.
