What Happens to Social Security When Someone Dies?

The Short Answer

Three things happen with Social Security after a death: the agency has to be notified, the final payment usually has to be returned, and survivors may become eligible for their own benefits. None of it runs through the courts, so it is separate from probate, and it is one of the earlier first steps a family handles after a death.

Who Notifies Social Security

Usually the funeral home does it. When you provide the deceased person’s Social Security number, you can ask the funeral director to report the death to the Social Security Administration, and most do this as a matter of course. If no funeral home is involved, a family member should call Social Security at 1-800-772-1213. A death cannot be reported, and survivor benefits cannot be started, through the Social Security website. Ordering several death certificates early helps here and with every other account.

The Last Payment

Social Security is not payable for the month of death, even if the person died on the last day of the month. Because Social Security pays a month behind, the payment that lands the month after death is for the month of death and has to be returned. If the benefit arrived by direct deposit, contact the bank and ask them to return it to Social Security. Do not spend a payment received after the death, because the agency will reclaim it.

The $255 Death Payment

Social Security pays a one-time lump-sum death payment of $255. It goes to a surviving spouse who was living with the person who died, or, if there is no such spouse, to a spouse or child who already qualifies for benefits on the deceased’s record. You generally have to apply within two years of the death, which is another reason to contact Social Security promptly rather than assuming it is automatic.

Survivor Benefits

The larger benefit is ongoing survivor payments, based on the deceased’s earnings record. People who may qualify include:

• A surviving spouse from age 60 (or 50 if disabled), or at any age if they care for the deceased’s child under 16.
• A surviving divorced spouse who was married to the deceased for at least 10 years.
• Unmarried children under 18, up to 19 if still in high school, or any age if disabled before 22.
• Dependent parents age 62 or older in some cases.

A surviving spouse who is already receiving benefits may be able to switch to the higher survivor amount. Because the timing of when you claim can change the benefit for life, a survivor often reviews the options with Social Security or a financial advisor before deciding.

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