Ask Larry

Earnings Test

Does The Higher Earnings Test Limit Apply For The 12 Month Period Prior To The Month You Reach Full Retirement Age?

I will reach full retirement age in January 2022. I would like to start collecting Social Security in February 2021 as I will not earn more than $48,000 in 2021. My question is does Social Security count 12 months before your normal retirement age as the higher earnings amount or do they use calendar months? Thank Larry


Wednesday, November 11, 2020 - 09:23

How Will Social Security Calculate The Amount To Be Repaid To Me At Full Retirement Age?

hello i repaid a total of 7,804,00 in the last 3 years from my work. i have read that after you reach full retirement age ss
gives this back to you, can you tell me how they calculate that back to you. thank-you


Amounts withheld from a person's benefits as a result of Social Security's earnings test are not returned to the person when they reach full retirement age (FRA), at least in a direct manner.

Wednesday, November 4, 2020 - 05:18

Will My PLOP Payment Affect My Social Security Benefits For This Year And Next Year?

Am 65 and was recently separated from state employer with severance package. I paid into social security for 35 years. Started social security and state pension benefits effective Sept 2020. Have a PLOP (Partial lump sum payment) being paid in Dec 2020. Will this PLOP ($40K) affect my social security benefits for 2020 and 2021?


Tuesday, October 27, 2020 - 10:03

Can My Severance Pay, PTO & Vacation Pay Show Up As Earned Income?

Hi Larry I started receiving widow's social security benefits January 2019. I just received a letter stating that they cannot pay my benefits from January 2019 through April 2019 because I was working. I was not working. I was on temporary disability collecting New Jersey short term disability and disability through the company that I worked for. I was given severance compensation, paid PTO & vaca and am wondering if this can show as earned income?

Sunday, August 2, 2020 - 10:43

Is It True That The $1 For $2 Penalty For Earning Over The Allowed Amount Is Returned One You Reach Full Retirement Age?

Hi Larry, I was told if you earn over the allowed amount there is a penalty of $1.00 for every $2.00 over the allowed amount. Then i was told that penalty amount collected is returned once you reach your full retirement age. This doesn't seem correct


Wednesday, July 29, 2020 - 09:54

Does Social Security Use The Annual Earnings Test If It's More Advantageous To Me Than The Monthly Test?

I turned 62 mid January 2020 and started SS in Feb (first payment in March). In April I started a job (no earnings before that) and will earn about $28,000 for the 8 months at about $3500 per month. Since I will be over the $1520 for those 8 months will I be eligible for any benefits? Do they use the annual earnings test if more advantageous meaning I would only have to pay back about half of the approx $10k I will be over?


Tuesday, July 21, 2020 - 10:09

Can I Return To Work Full Time On 1/1/2021 And Not Be Subject To The Earnings Test?

FRA is 66 and 2 months if you were born in 1955 but it also says if you are a survivor born in 1955 then you FRA is only 66 which. age applies to the earnings test I am currently collecting widows benefits and turn 66 on 11/15/2021 so I want to know if I can return to work full time on 1/1/21 and not be subject to the earnings test or do I have to wait until my birthday Thanks Judi

Hi Judi,

Sunday, July 5, 2020 - 10:54
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