In order to be entitled to Social Security retirement or disability benefits, or for your spouse and children to be eligible for dependents and survivors benefits, you must be insured according to Social Security Administration’s (SSA) guidelines. To be insured, you must have earned a certain number of work credits from working at jobs where you paid Social Security taxes.
Work credits are accrued based on the amount of wages or self-employment income that are reported on your record annually. The dollar amount you need to earn for one credit usually changes each year. For example, in 2013, you needed to earn $1,160 in earnings to get one credit. The most you can get for any one year is four credits, regardless of your earnings.
“Currently Insured" Versus “Fully Insured”
A person can be either “fully” or “currently” insured depending on how many credits he or she has acquired. A person who is fully insured is entitled to a wider range of Social Security benefits than someone who is “currently insured.” To be “fully insured,” a person must have earned 40 credits at retirement age, which would generally mean that the person has worked enough to earn the maximum of four credits a year for the past ten years. Being insured for disability benefits depends on the age a person becomes disabled (more on this below).
A person is only currently insured if he or she earned six (or more) credits during the 13-quarter period ending with the quarter the person died or became disabled (this period is about three years). Although individuals who are not currently insured cannot get disability or retirement benefits for themselves, there are limited benefits available to their survivors. These survivor benefits are discussed below.
Insured for Disability Benefits
Workers who aren't fully insured can receive disability benefits if they are "insured for disability benefits." If a worker becomes disabled before full retirement age and but has at least one credit for each year since age 21, the SSA considers the person to be insured for disability benefits. Also, the individual must have earned 20 credits during the last 40 quarters, ending with the quarter the person became disabled (this generally means the person must have worked five out of the last ten years).
Individuals who are insured for disability benefits are entitled to Social Security disability benefits, and their spouses and children are entitled to spousal and children's benefits. However, after their death, their dependents are eligible for survivors benefits only if the disabled individual was also currently insured. Most disability recipients, but not all, are currently insured. For disability recipients, currently insured status requires that the disabled person earned at least six credits during the 13-quarter period ending with the quarter the person became disabled (about three years). The survivors of currently insured disability recipients can receive benefits as discussed below.
Benefits for “Fully Insured” Versus “Currently Insured” Workers
Fully insured workers are entitled to more benefits than currently insured workers.
The following are available to fully insured workers (or their survivors) only:
- retirement benefits for workers 62 or older
- disability benefits
- widow(er)s benefits for widow(ers) aged 60 or older
- widow(er) benefits if the widow(er) is caring for a child who is either under the age of 16 or who is disabled and that child is entitled to benefits under the deceased worker’s earnings record
- disabled widow(er) benefits for widow(ers) between the ages of 50 and 60
- dependent parents benefits for parents aged 62 or older of a deceased fully insured worker
- spousal benefits for spouses aged 62 or older
- spousal benefits for spouses who are caring for a child who is either under the age of 16 or who is disabled and that child is entitled to benefits under the deceased worker’s earnings record
- children's benefits if the child is under the age of 18, or under the age of 19 and a full-time elementary or secondary school student, or aged 18 or older and who became disabled before the age of 22.
The following are available to the survivors of currently insured workers:
- Surviving spouse benefits if the widow(er) is caring for a child who is entitled to benefits under the deceased worker’s earnings record and who is either:
- under the age of 16, or
- Children's benefits for the dependent, unmarried child of a deceased worker if the child is:
- under the age of 18
- under the age of 19 and a full-time elementary or secondary school student, or
- aged 18 or older but became disabled before the age of 22.
The surviving spouse benefits may also be available to a surviving former spouse.
When a Person Is Currently Insured
To understand exactly when someone becomes currently insured, it’s helpful to know how the SSA divides the year into quarters:
- 1st Quarter: January, February, March
- 2nd Quarter: April, May, June
- 3rd Quarter: July, August, September
- 4th Quarter: October, November, and December
To determine whether someone is currently insured, subtract three years from the year the person died. The 13-quarter period begins with the first quarter (three years ago) that corresponds to the quarter the person died. Here is an example.
Example 1—Currently Insured Worker
Joe died on February 1, 2013, which is part of the first quarter of 2013. The date three years prior to this is February 1, 2010 (the first quarter of 2010). So the 13-quarter period begins with the first quarter of 2010 and ends with the following thirteenth quarter, which begins in January 2013. Therefore, if Joe earned at least six credits in the time period between January 1, 2010, and January 1, 2013, he was “currently” insured. Although he wasn’t eligible for disability benefits when he died, his “currently insured” status entitled his wife and children to some survivors benefits.
Example 2— Currently Uninsured Worker
Marianne became died on June 2, 2012, which is in the second quarter of 2012. The date three years prior to this is June 2, 2009 (also the second quarter). The thirteenth quarter began on April 1, 2012; therefore Marianne had to have earned at least six credits between April 1, 2009 and April 1, 2012. Unfortunately, Marianne had only worked five quarters by the beginning of the second quarter when she died; therefore, she was not “currently” insured.
Contact an Attorney
It can be a complicated process to determine whether or not you or your family is eligible for benefits. If you are unsure, it can be helpful to speak to an attorney with experience in Social Security matters.