Ask Larry

Earnings Test

Is My Wife's Severance Pay Considered As A 'Special Payment' By Social Security?

Hi Larry. My wife is retiring from General Motors on 4/1/2023. She applied for SS prior to becoming avavaible for and unaware that she will be receiving a substantial severance package. Her SS will become effective sometime after her 4/1/2023 retirement date and payout unknown at this time.
My question is, will the severance be considered a "Special Pyment" in the eyes of SS? I have received conflicting answers from SS employees depending on who I ask the question to.
I would appreciate an answer from you with your knowledge of Social Security on this question.

Saturday, March 25, 2023 - 16:30

Can My Wife Collect Spousal Benefits While My Benefits Are Being Withheld Due To My Earnings?

My wife wants to start collecting spousal benefits as she never worked. She is 62. I want to continue working. I understand I can no longer file and suspend. Everything I read says I must be COLLECTING Social Security benefits in order for my wife to receive spousal benefits. I do not want to retire yet as I am only 65. So my question is if I continue working and file for Social Security, and I make 65k/ year, when I pay back $1 for every $2 over the maximum earnings (approximately 20k) meaning I will not receive any Social Security payments at this time.

Tuesday, March 21, 2023 - 20:33

How Will The Earnings Test Affect Me If I Get Vacation Pay?

Larry, You provide great information. I have just one hopefully easy question. I plan to retire on February 1 2024 1 month before my 65th birthday. At that time I would get a payout of 12 weeks or more vacation. I fear that my 2024 earned income would jump to almost $40,000 for the year. How does the social security "earnings test" affect me? If I just wait until March to file for SS would it solve it or should I try to get a vacation payout in 2023? I thought I saw somewhere that there is no "monthly test" in 2024.

Thank you for all the information you have provided.

Thursday, March 9, 2023 - 15:17

Am I Limited To The Monthly Earnings Limit In The Months Prior To FRA?

Hi Larry....great that you do this for people...some of the other people's questions are close to mine but not exactly...I'm still working in 2023...I'm to start benefits for April 1...this is my FRA...year..full r age August...I still need to work till the end of this year...I will not be any where near the 56k by Aug 1 but might go over 4710 in April and may because of vacation I limited to the monthly amount or yearly for the time between April and August..thanks

Monday, March 6, 2023 - 13:23

How Much Less Will My Payment Be If I Earn $25,000?

If I’m drawing 1886 a month from ss and I take a 25000 yr job how much less would payment be I collected at 63

Hi. Assuming that you'll be under your full retirement age (FRA) throughout 2023, then Social Security would need to withhold $1 of your benefits for each $2 that you earn in excess of $21,240 this year. They don't do that by reducing your monthly benefit amount, though. Instead, they suspend your benefit payments for as many months as it takes to withhold the required amount.

Friday, March 3, 2023 - 11:46

Can You Confirm My Understanding Of The Rules?

Thank you all for answering my previous questions, and all of the other questions I read on this website. I am just looking for some confirmation about filing for Social Security benefits. If I understand them correctly, if I am below my Full retirement Age, and am collecting either my own or spousal benefits, Social Security can withhold Social Security payments based on my earnings, if I exceed the earnings levels published.

Thursday, February 23, 2023 - 17:06

How Much Can I Earn In 2023 Without Affecting My Pension?

I retired at 62 and filed for SS. I will turn 66 in June 2023. What is the maximum I can earn in 2023 without affecting my pension?

Hi. If you were born in June 1957 on any day other than June 1st, then you can earn up to $56,520 from January 1 2023 through November 30 2023 without losing any of your Social Security retirement benefits. And, there would then be no limit on how much you could earn after November 30 2023.

Best, Jerry

Sunday, February 5, 2023 - 13:14
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