By artfully applying your knowledge of tax rules, benefits, and protections, you can maximize your retirement nest egg.

When it comes to retirement planning, no man or woman is an island. Because of the way federal laws are written and enforced, one person's financial situation may have significant implications for not only their current spouse -- but possibly an ex-partner as well.

To help make these issues a bit more clear, let's take a closer look at the relationship between marital status and retirement planning.

Social Security Spousal Rights

One of the programs where spousal rights and benefits are most prominent is Social Security. Those who earn much less than their partner have the option to receive a payout that's equal to 50-percent of their spouse's. This payout rises to 100-percent if the higher-earning partner dies. Ex-spouses who were married to their partner for at least ten years are also eligible for this adjustment.

There is an important recent development to note: As of this year, it's no longer possible to claim a spousal benefit, then allow your own Social Security benefits to mature and grow larger before ultimately claiming your benefits instead.

401k Spousal Rights

Married couples have an advantage over singles in that they have the ability to save twice as much tax advantaged cash via 401k payments. The math is simple: two accounts grow faster than one. Typically, the legal right to money in a 401k reverts to the surviving spouse upon death.

Defined Benefit Pension Spousal Rights

One of the most important decisions to make regarding a traditional pension is whether to opt for a survivor's benefit. If a survivor's benefit is in force, the widowed spouse continues to receive her partner's pension payments until her own death.

Many people choose to forego survivor's benefits in exchange for higher monthly pension payments, though this generally requires written approval from the spouse agreeing to forfeit survivor benefits.

IRA Spousal Rights

Much like with 401ks, married couples have an advantage in that they can save more tax-advantaged money through their IRAs. Additionally, a surviving spouse can roll over her late partner's IRA into her own, or to simply continue receiving distributions.

The Takeaway

Married couples have the ability to save more for their retirement by taking advantage of tax rules designed to help them. By artfully applying your knowledge of these rules, benefits, and protections, you can maximize your retirement nest egg.