Spousal Social Security Benefits for Green Card Holders Explained

Understanding how spousal Social Security benefits work for green card holders is important for those planning their retirement. These benefits provide financial support based on a spouse’s earnings, even if the green card holder has little or no U.S. work history. However, specific rules determine eligibility and benefit amounts.

Several factors influence these benefits, including work credits, tax implications, and international agreements. Understanding the application process and strategies to maximize benefits can improve long-term financial security.

Eligibility Requirements

A green card holder may qualify for spousal Social Security benefits if their spouse is eligible for retirement or disability benefits. The marriage must be legally recognized in the U.S., and in most cases, the green card holder must have lived in the country for at least five years.

Age also plays a role. Benefits can start at 62, but claiming before full retirement age (FRA) results in a reduced monthly payment. FRA ranges from 66 to 67, depending on birth year. Waiting until FRA allows the green card holder to receive up to 50% of their spouse’s full benefit amount.

Immigration status at the time of application also matters. Permanent residents generally qualify, but those who obtained a green card through marriage may face additional scrutiny if the marriage lasted less than 10 years and ended in divorce. Benefits may still be available if the marriage lasted at least 10 years.

Work Credits Impact

Work credits determine eligibility for Social Security benefits, but they function differently for spousal benefits. A green card holder does not need their own work history to receive spousal benefits, but understanding work credits can clarify potential limitations.

The Social Security Administration (SSA) awards up to four work credits per year based on earnings. In 2024, one credit is earned for every $1,730 in wages or self-employment income. To qualify for retirement benefits based on personal earnings, an individual typically needs 40 credits, or about 10 years of work. However, for spousal benefits, only the primary earner’s work record matters.

For those with limited U.S. work history, their earnings do not reduce spousal benefits. If they later qualify for their own benefits, the SSA will compare their individual benefit amount to the spousal benefit and pay the higher of the two. This is relevant for green card holders who work part-time or intermittently, as their earnings may eventually result in a higher personal benefit.

If a green card holder has worked in another country, totalization agreements between the U.S. and certain nations may allow foreign work credits to be combined with U.S. credits. This can help individuals qualify for their own benefits, potentially influencing the decision to claim spousal benefits. Each agreement has specific terms, so reviewing the details is important.

Spousal Benefit Calculations

The amount a green card holder receives in spousal benefits depends on when they claim and whether other income sources reduce the payment. The SSA calculates spousal benefits as a percentage of the primary earner’s full retirement benefit, with the maximum amount being 50%. However, claiming before FRA results in a permanently reduced payment. If FRA is 67 but benefits are claimed at 62, the amount received is about 32.5% of the spouse’s benefit instead of the full 50%. The reduction follows a sliding scale, decreasing incrementally for each month benefits are claimed early.

Government pensions can also affect spousal benefits. If the green card holder worked for a federal, state, or local government agency and receives a pension from employment not covered by Social Security, the Government Pension Offset (GPO) may reduce or eliminate their spousal benefit. The GPO reduces spousal benefits by two-thirds of the pension amount. For example, if a pension is $900 per month, the SSA reduces spousal benefits by $600. If the calculated spousal benefit is less than this offset, the individual may receive nothing.

Earnings from work after claiming benefits can also impact payments. If the green card holder is below FRA and earns above the SSA’s annual earnings limit ($22,320 in 2024), their benefits are temporarily reduced. Social Security withholds $1 for every $2 earned over the threshold. Once FRA is reached, benefits are recalculated to account for withheld amounts.

Tax Considerations

Spousal Social Security benefits for green card holders may be subject to federal income tax, depending on total income. The IRS uses a formula called “combined income,” which includes adjusted gross income, nontaxable interest, and 50% of Social Security benefits. If this amount exceeds $25,000 for single filers or $32,000 for married couples filing jointly, a portion of benefits becomes taxable. Up to 50% of benefits may be taxed if combined income falls between $25,000 and $34,000 ($32,000 to $44,000 for joint filers), and up to 85% if it surpasses the upper threshold.

Green card holders who file as nonresident aliens under U.S. tax law generally face a flat 30% tax rate on benefits unless a tax treaty reduces or eliminates this withholding. The IRS has agreements with several countries that adjust tax treatment, so reviewing the specific treaty provisions for one’s country of citizenship is important. Tax treaties may also determine whether benefits are taxed solely in the U.S. or in both countries, potentially leading to foreign tax credits to avoid double taxation.

Effect of Totalization Agreements

For green card holders who have worked in multiple countries, totalization agreements can influence Social Security benefits. These agreements, established between the U.S. and certain nations, prevent individuals from paying Social Security taxes in both countries while also allowing work credits to be combined.

Each agreement specifies how credits are combined and whether benefits are paid separately by each country or through a proportional formula. For example, a green card holder who worked in Germany for 15 years and in the U.S. for five years may be able to combine these credits to meet the minimum requirement for U.S. Social Security. However, the benefit amount is typically prorated based on the time worked in each country. Since agreements vary, reviewing the terms of the specific treaty is necessary to understand how benefits will be calculated and whether spousal benefits are affected. Some agreements may also impact tax treatment, determining whether benefits are taxed in the U.S., the other country, or both.

Application Steps

Applying for spousal Social Security benefits as a green card holder requires gathering necessary documentation and following the SSA’s procedures. The application can be completed online, by phone, or in person at a local SSA office.

Proof of identity, immigration status, and marriage is required. This typically includes a valid green card, passport, Social Security number, and marriage certificate. If the marriage certificate is from a foreign country, it may need to be translated and certified. Additionally, the spouse’s Social Security number and proof of their benefit eligibility must be provided. If the green card holder has worked in another country with a totalization agreement, documentation of foreign work history may be necessary.

Once the application is submitted, SSA reviews the information and may request additional details before approving benefits. Processing times vary, but decisions are usually made within a few months.