How to Handle Social Security Benefits When a Loved One Dies

By Jim Miller

To help you understand what Social Security provides and what needs to be done when a family member dies, here are some key points you should know.

Let’s assume your father dies. Your first order of business will be to make sure the Social Security Administration is notified when he dies, so the monthly benefits will be stopped. In most cases, the funeral home providing the burial or cremation services will do it. You’ll need to provide your dad’s Social Security number to the funeral director so they can make the report. But if they don’t offer that service or you’re not using a funeral home, you’ll need to do it yourself by calling Social Security at 800-772-1213.

When Benefits Stop

There are a couple of things to be aware of regarding your Social Security benefits. For starters, you need to know that a person is due no Social Security benefits in the month of their death.

With Social Security, each payment received represents the previous month’s benefits. So, if your dad were to die in August, the check for that month — which would be paid in September — would need to be returned if received. If the payment is made by direct deposit, you would need to contact the bank or other financial institution and ask them to return any benefits sent after your dad’s death.

Survivor Benefits

When your father dies, your mother may be eligible for survivor benefits on his record if she’s at least age 60 (50 if disabled). Here’s how that works depending on her situation.

If your mom is currently receiving Social Security benefits based on your father’s work record, her spousal benefit will automatically convert to survivors benefits when the government gets notice of your dad’s death. She cannot receive both spousal and survivor benefits at the same time.

Widows are due between 71% (at age 60) and 100% (at full retirement age) of what the husband was getting before he died.

If, however, your mom is eligible for retirement benefits (but hasn’t applied yet), she can apply for retirement or survivors benefits when her husband dies and switch to the other (higher) benefit later. Or, if your mom is already receiving her retirement benefits on her own work record, she could switch to survivors benefits if it offers a higher payment. She cannot, however, receive both benefits.

To apply for survivors benefits, your mom will need to call Social Security at 800-772-1213 and schedule an appointment. She can’t do it online.

You should also know that survivor benefits are available to former spouses and dependents who meet SSA qualifications – see SSA.gov/benefits/survivors.

Also note that if your mom collects a survivor benefit while working, and she’s under full retirement age, her benefits may be reduced depending on her earnings. See SSA.gov/pubs/EN-05-10069.pdf for details.

Death Benefit

In addition to survivor benefits, Social Security will also pay a one-time payment of $255 to your mom (the surviving spouse) if she was living with your dad at the time of his death. If they were living apart, she may still receive this one-time payment if she’s collecting spousal benefits on his work record. In the absence of a surviving spouse, the lump-sum payment can go to a son or daughter who is eligible for benefits on the deceased’s work record.