Due to a major job loss 6 years ago, I had to take my social security at 62. Since then, (18 mos later) I found a job paying a 10th of my prior earnings. I made 35,000 in 2015 and SS had contacted me stating I must repay over $9000 of what I collected in 2015 within 30 days. Then the will reduce my benefits. First are the benefits lost or will they go back into my account? Second I don't have the money to repay - what happens, Can I suspend the benefit so it may become greater? I don't know what to do.
Hello Larry-My wife turned 62 last year and is collecting SS benefits. She is, of course, limited to the $15720 annual earnings limit. My question is this: my wife will earn around 17K this year if she maintains her part time work schedule as it is now. If she makes an IRA contribution of at least the amount she earns over $15720, will that prevent SS from withholding money for having gone over the earnings limit or does SS only look at total earned income?
I filed for social security benefits in May, 2016 (I am still working and will continue to work). I will turn 66 (FRA) in august, 2016. I was told by the Social Security rep that the withheld benefits for May, Jun and July (suspended because my earnings exceeded the limit) would be paid in a lump sum in January of 2017. Can you tell me if that is the case? I am expecting my first social security check in September 2016.
Hi, I am 63 year old and I would like to know if I could start getting my benefit now and still continue to work. Thanks, Williene
I am 62. Will withdrawing funds from my 401k be considered earned income, and then if it exceeds the $15,000 threshold at 62 cause me to lose $1 in social security for each dollar over that set limit?
No, withdrawals from your 401K will not count toward the Social Security earnings test limit. Only earned income, specifically gross wages and net earnings from self-employment, is considered.
I am eligible for social security soon. I will be 62 and my wife is 56. She will continue to work after I retire. I plan on working part time (up to $15K/year) Do my wife's earnings have any impact on my social security?
No, your wife's earnings have no effect on your Social Security retirement benefit. However, if you earn more than the exempt amount, currently $15,720, your benefit will be reduced.
I'm 63 my job is going away shortly you know out with the old and in with the young my wife is 12 years younger at 51. Can you tell me how much social security I can get and can. If I can still work how much money I can make while on social security? Thanks, Carl
Benefits that are lost due to the earnings test, when are they recovered? Is it in the years when there are no longer earnings, at FRA or some other time? If one wants to track this to make sure they are fully recovered, how would one go about this?
Also, do the same rules apply to widow benefits lost to the earnings test?
Is it possible the earnings test could actually increase ones life time benefit? Specifically the in the event of someone turning 62 next year and my kids will be 16 and 11. Does the earnings test reduce their benefit if I continue to work or just mine?
The earnings test is applied to benefits payable to all entitled family members. $1 of total benefits is withheld for each $2 of the worker's excess earnings (i.e. earnings above the yearly exempt amount, which is $15,720 in 2016).