Earnings Test

Will My Wife's Earnings Cause My Benefits To Be Reduced?

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I am turned 62 in 2016 and started collecting SS benefits. My wife is 47 and still works and makes about $48K per year. I realize that my SS income will be subject to income taxation, but will my benefits be reduced due to her earned income? Thank you!

Hi,

No, only your own earnings count toward the Social Security earnings test (https://www.ssa.gov/planners/retire/whileworking2.html).

Best, Jerry

How Does The Earnings Test Work?

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I still find the "Earnings Test" very confusing. When it talks about the "benefits withheld", does that refer to reduced social security payments from signing up before FRA or does it refer to "withholding $1 for every $2 (of $3) dollars earned? I am interested because I would like to know whether withheld pay from working will be refunded when a person reaches FRA or whether a person's social security payment will be increased when reaching FRA. Thank you for all you do to clarify a very confusing issue! Happy Holidays!

Hi,

How Much Can I Earn If I Take Benefits Early?

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My full retirement age is age 66.
I will turn 66 in December of 2018.
If I decide to take my SS at age 65 in February of 2018 before reaching FRA and continue to work for several months how much can I make being employed before they start penalizing my SS?

Mike

Hi Mike,

The exempt amount of earnings for people who reach full retirement age (FRA) in 2017 is $44,880. The 2018 exempt amount won't be announced until late next year, but it shouldn't be any less than $44,880.

Can I Still Draw My Spousal Benefits If My Earnings Increase?

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I SIGNED UP TO COLLECT MY WIFE BENEIFT'S. I STATED I WOULD MAKE 46,OOO IN SALARY BUT THE FIGURE WILL BE 68,000. I CALLED LOCAL SS OFFICE AND REPORTED THE DIFFERENCE. WILL I STILL BE ABLE TO RECEIVE HER BENEIFTS?/

Hi,

Well, that depends on your age. If you're already at least full retirement age (FRA), which is currently age 66, then your earnings level won't matter. However, if you're under age 66, your Social Security benefits may need to be withheld due to your earnings.

Can My Mother-In-Law's Social Security Benefits Be Affected If She Buys A Condominium?

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Hi Larry, my questions is. My mother in law is retired and receives Social Security benefits, can her benefits be affected if she buys a condominium cash about $100.00 dollars. Please let me know. Thanks

Hi,

I'm not sure if there's a typo in your question, or if I'm correctly understanding your question. Anyway, Social Security benefits are not affected by things that a person owns, so if your mother in law buys a condominium, it would not affect her Social Security benefits.

Best, Jerry

Can You Clarify How The Earnings Test Works?

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While almost all discussion on the earnings test refers to an annual limit, in fact it seems to be a monthly calculation. I am under FRA and was hoping to start SS in 2017. However, for 4 months in 2017 I will earn $3500, putting my annual earnings below the annual exempt amount of $16,920. HOWEVER as I look more carefully at the SS discussion on this, it seems that in fact for the 4-months in which I earn $3500, the earnings test will be applied and social security benefits withheld. Can you clarify this? Thank you, Ann

Hi Ann,