Angela A. Says:
My husband and I have plans to move to Portugal when he retires. He will be turning 71 and I will be turning 64 this year. How does he receive his Social Security once he retires?
Social Security Expert Steve Garfink Says:
Hi Angela,
First and foremost, you indicated your husband is turning 71 soon. If your husband is past age 70 and is not yet receiving his Social Security, then he should apply for it immediately, this month!
While the benefit amount goes up a bit each month he defers claiming until age 70, it no longer increases past age 70. If he is well past 70 and hasn’t claimed, he can make the claim effective up to six months earlier (though not to a month before he turned age 70) and he’ll receive a lump sum for those months that have passed.
You have two basic options to receive your benefits after you relocate overseas.
You can continue to receive them at a US financial institution where you currently do your banking. Or, you can have the Social Security Administration (SSA) deposit your monthly benefit payment directly to a bank in Portugal.
Almost any Portuguese bank will work, though you should check with the SSA for their correspondent bank in Portugal, then confirm with your Portuguese bank that they can receive SSA payments via that correspondent bank.
One great reason to have the SSA deposit to a Portuguese bank is your money will be deposited to your account in euro based on the exact exchange rate on the day SSA processes your payment. There is no fee and there is no “Buy-Sell” spread: you get the best possible rate available worldwide for euro on that day!
Finally, if you should decide you no longer wish to receive your benefits at a foreign bank you can go online and redesignate a US bank and the deposit will go there after a month or so delay.
You can get more detailed information about setting up your Social Security claiming plan in my book, Social Security Secrets – How To Maximize Your Income For A Worry-Free Retirement.
Best of luck with your plans!
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