I’m Dead. Now What?

deceased’s checking account. In other words, you usually don’t have to worry about returning any Social Security checks. It’s almost always done for you.

There can be a little twist to this scenario though. For example, let’s say that Henry died on July 2. And let’s further say that his Social Security check was normally sent to him on the third of each month. In other words, Henry died just before his Social Security check was deposited into his bank account. Because he was alive the whole month of June, that means he was due the money from that June check. And now his widow or his estate is due that money. So that June Social Security benefit would have to be returned to the Social Security Administration. Then it will be reissued to the widow or to the estate. (There is a form that needs to be filled out to get that to happen. Talk to an SSA rep about that.)

So far, I’ve been talking about dealing with the last Social Security check that was sent to the deceased. Now let’s talk about getting any Social Security survivor benefits that might be due. Unless they are due higher benefits on their own Social Security accounts, widow(er)s are due full benefits at their full retirement age, or reduced benefits as early as age 60 if they are not working. But the most common scenario involves couples who were both getting Social Security benefits at the time of death of one of the spouses. The easiest way to explain what happens is with examples.

Fred died. He was getting Social Security retirement benefits. And his wife, Wilma, was getting just a spousal benefit. In other words, she didn’t have enough work credits to get her own Social Security benefit. In this case, the process is pretty simple. No widow’s application is required. Wilma simply notifies the SSA of Fred’s death and they just push of few buttons to switch her from wife’s benefits to widow’s benefits. As part of the process, she may have to provide a copy of the death certificate. I say “may have to provide” because there is a chance the SSA will already have some proof of death in their files. Assuming Wilma was over “full retirement age,” she will just start getting whatever Fred was getting at the time of death. (But if he started his Social Security at age 62, Wilma would actually get a little more. Fred would have been getting a rate equal to 75 percent of his full benefit, and Wilma is guaranteed to get at least 82% of his full benefit.)

If Wilma was getting her own retirement benefit that was less than Fred’s rate, she will get bumped up to that higher amount. And she would have to file an application to get those widow’s benefits. It’s really not very hard. There is one little twist. Widow’s claims cannot be filed online, so Wilma would have to contact the SSA at 800-772-1213 to file her claim over the phone. In addition to a death certificate, Wilma may also have to provide a copy of her marriage certificate.

There is also the matter of the $255 death benefit. I’m always embarrassed talking about this one-time payment because it is so miserly. There is a long history to this benefit, and I don’t have the space to explain it here today. Suffice it to say, the rate has been set at the $255 level for about 50 years now. A half-century ago, it might have gone a long way toward paying for a funeral. Today, it barely covers the cost of the flowers draping the casket. But no matter how stingy it is, the benefit is still there. However, a number of years ago, Congress passed a law saying it can only be paid to a widow or widower who was living with the deceased. So, if someone dies, and there is no spouse, the $255 death benefit cannot be paid.

If you have a Social Security question, Tom Margenau has two books with all the answers. One is called “Social Security -- Simple and Smart: 10 Easy-to-Understand Fact Sheets That Will Answer All Your Questions About Social Security.” The other is “Social Security: 100 Myths and 100 Facts.” You can find the books at Amazon.com or other book outlets.

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