An audit reveals Social Security Administration errors deprived widows and widowers of delayed retirement credits worth millions.
A Social Security Administration oversight prevented thousands of widows and widowers from claiming $113.8 million in potential benefits. The agency failed to inform beneficiaries they could delay retirement benefits while receiving survivor benefits, allowing retirement credits to grow until age 70.
The inspector general’s audit found that beneficiaries were not advised of options to maximize payouts. Delaying retirement benefits past full retirement age increases monthly payments by up to 8% annually until age 70. Many missed this opportunity due to insufficient guidance from SSA employees.
The report highlights systemic communication gaps within the SSA, complicating an already complex benefits process for retirees. No immediate market reaction was noted in the findings.