Parents who had kids late may be entitled to a Social Security windfall they don’t know about

Moneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below.

Almost 57.8 million older Americans received Social Security retirement benefits as of August 2026 (1). These benefits become available starting at 62 and provide much-needed income, with around ⅓ of Americans reporting they expect Social Security to be their primary source of support (2).

But while almost everyone knows they can collect retirement benefits, that monthly payment may be just the start of what Social Security offers. In fact, in some cases, additional valuable benefits are available that can be left on the table.

Jeff Bezos backs a platform that lets anyone invest in rental homes for as little as $100 — 6 ways to build wealth like a landlord without actually being one

A single line on your car insurance policy could be inflating your premium by up to 30% — here's what to change

A record 45% of central banks plan to grow gold reserves — and many investors are following suit. Get your free gold IRA guide from Priority Gold

This is especially true for older parents who may be totally unaware that when they retire, their children may actually become eligible for Social Security benefits as well.

The Wall Street Journal (3) recently reported on this often-overlooked source of funds, noting that a growing number of people are likely to become eligible as the number of people 65 and over with a minor child has more than tripled since 2000

Older parents may get a Social Security surprise

The unexpected Social Security windfall that catches many parents off guard is called a child's benefit.

According to the Social Security Administration (4), millions of young people collect a child's benefit each month, with this income intended to "provide necessities for eligible family members and help make it possible for those children to complete school."

A child's benefit is available to a younger person with older parents if the child is unmarried and:

Has a parent who is receiving Social Security retirement or disability benefits.

Is either younger than 18, or is between the ages of 18 and 19 and is a full-time student attending an elementary or secondary school in grade 12 or below.

Is 18 years old or older and has a disability that started prior to age 22.

Because of this rule, if an older dad with a 14-year-old daughter turns 62 and claims his Social Security benefits, his daughter could collect the child's benefit for up to five years, depending on when she completes school.