Scenario: In USA, a person is receiving $1900 monthly from Social Security. His parents receive a total of $1200 monthly. (These numbers are rounded from a particular family’s actual amounts.) The parents are officially dependents of the son. (Not likely, given those amounts, but possible.)
According to “Survivors Benefit Amount” (as I understand), if the son dies, the parents can give up their $1200 and instead get 150% of the $1900. This means that instead of three people living on $1033 each, two people would be living on $1425 each. This doesn’t seem to make sense to me.
Did I miss some detail, or is this analysis really correct?
This is not the family’s actual situation, just something I noticed when I was trying to help them.