What is discontinued service retirement?

Definition. Discontinued Service Retirement (DSR) provides an immediate, possibly reduced, annuity for employees who are separated against their will. Under DSR, the key is the involuntary nature of the separation. Employees who are separated for cause on charges of misconduct or delinquency are not eligible for a DSR.

At what age can you file and suspend Social Security benefits?

If you are already entitled to benefits, you may voluntarily suspend retirement benefit payments up to age 70. Your benefits will be suspended beginning the month after you make the request. We pay Social Security benefits the month after they are due.

Is the file and suspend strategy still available?

Due to Social Security rules that became law in November 2015, the file and suspend strategy is no longer available for couples. It worked for those who suspended benefits on or before April 30, 2016.

When was file and suspend eliminated?

2015
“File and suspend,” also known as “claim and suspend,” was a maneuver for married couples to maximize benefits. As part of the Bipartisan Budget Act of 2015, Congress eliminated the loophole that made file and suspend possible.

How did file and suspend work?

File and suspend was a social security maximization strategy that allowed married couples to receive spousal benefits and delay retirement credits. The idea was that lower-earning spouses could receive spousal benefits while delaying their own full retirement.

What is the difference between file and suspend and restricted application?

While the role of file-and-suspend was to allow someone else to get spousal benefits while the primary worker delayed his/her own benefit, the purpose of restricted application was for someone to get their own spousal benefit while delaying their own individual retirement benefit.

What is file and suspend Social Security?

What is the restricted application strategy?

The purpose of using the restricted application is to allow the qualifying spouse to collect spousal benefits only, while deferring their own worker benefit to age 70 if they wish, and earn delayed retirement credits, up to an additional 32%.

Discontinued Service Retirement (DSR) provides an immediate, possibly reduced, annuity for employees who are separated against their will. To qualify for discontinued service retirement, an employee must receive specific written notice of a proposed involuntary separation.