Started my Social Security this month. This will make mystery shopping easier
Warning: For Full Access Please Log In or Create an Account (Free)
Congrats! Happy! Enjoy your 2016! 
Nature does not hurry, yet everything is accomplished. - Lao-Tzu
Good for you. Happy New Year!
Do you have a ceiling on the income that you can earn and still keep your full SS paycheck?
@KathyC wrote:
Do you have a ceiling on the income that you can earn and still keep your full SS paycheck?
For me the ceiling is around $16000. You take half your Social Security, add your earnings for the year....a single person can make up to $25000 a year. 1/2 Social Security + your earned income for the year.
Edited 1 time(s). Last edit at 12/28/2015 03:28PM by johnb974.
if you are under the full retirement age (which is changing from 65-67 and might be 66 now), you are limited to about 15k/year before you lose the benefit...once you are full retirement age, you can make a billion/year and still get the benefit.
I never heard the half method....does that apply to what you pay taxes on? I have always heard it was a set amount per year before it affected the SS.
With SS disability, it is 1090/month, but a little higher with SS retirement..it had been around 14k a few years ago.
Edited 1 time(s). Last edit at 12/28/2015 07:24PM by jmitw.
I never heard the half method....does that apply to what you pay taxes on? I have always heard it was a set amount per year before it affected the SS.
With SS disability, it is 1090/month, but a little higher with SS retirement..it had been around 14k a few years ago.
Edited 1 time(s). Last edit at 12/28/2015 07:24PM by jmitw.
Their formula for a single person, age 62 is, 1/2 of Social Security, plus whatever it takes to get to around $25,000. For me, I can make around $16,000 a year before I am taxed on my Social Security.
I better die before I reach my 60's then because I can not live off of $16,000 or $25,000. Then again the Baby Boomers are going to drain SS dry.
You are not forbidden to make more than that. The issue (for some people) is that if you earn more than a certain amount (about $14,000) and you are 63 thru 66 (exact ages vary depending upon birth year), you lose $1 of SS benefits for every $2 earned. BUT - your monthly SS benefit is readjusted and eventually you will come out even. Once you get to full retirement age (there are special rules for the year in which you tern 67, and 62, for that matter), you can make a gazillion dollars and not have any SS offset. Note, however, that paying income tax on SS benefits may be triggered depending upon how much other earned income you have at any age.
@Sybil2 wrote:
I better die before I reach my 60's then because I can not live off of $16,000 or $25,000. Then again the Baby Boomers are going to drain SS dry.
Shopping Southeast Pennsylvania, Delaware above the canal, and South Jersey since 2008
Myst4you has the answer that is correct based on everything I have read. Paying income tax on your soc security, like myst4you says, is not connected to "losing" your social security. You do not lose any of your check but you may need to pay tax in your personal income tax bracket if you earn too much overall including the social security. Whether you get the full amount in the check they send monthly depends if you are under the full retirement age (66 for people reaching that age recently) then their are income limits for wages. There are no income limits for investment income. So if you have a paid job of some sort (earned income) under age 66 and in the future 67 you will get a smaller check depending on what your earnings were. I believe it is 1$ for every $2 earned above the floor that gets taken out of your soc sec check but at a certain age (64?65? I am not sure) that goes down to $1 for every $3 earned. If you are planning to take social security before age 66 at the moment you need to read the rules and figure out whether this will work in your personal situation.
Oh and something I found out a few years ago which is not known to lots of people....If you are married or had been married for at least 10 years to someone who is now full retirement age and you have reached full retirement age (that golden 66 for recent people and going up to 67) you can get a check for half your spouses or ex spouses soc sec amt with no income limits. This way you can continue working and let your soc sec check build up until you are ready to retire yourself and still collect a half check. It does not matter how many times your ex spouse had been married....so two or three ex spouses can claim a half check on the same ex spouse...each ex spouse will get a full half check and not be sharing the money with the other ex spouses. One of my friends was in this position and did not have a friendly relationship with her ex spouse but the soc sec office was able to arrange for her half check without her having to contact her ex spouse at all.
@sandyf wrote:
Oh and something I found out a few years ago which is not known to lots of people....If you are married or had been married for at least 10 years to someone who is now full retirement age and you have reached full retirement age (that golden 66 for recent people and going up to 67) you can get a check for half your spouses or ex spouses soc sec amt with no income limits. This way you can continue working and let your soc sec check build up until you are ready to retire yourself and still collect a half check. It does not matter how many times your ex spouse had been married....so two or three ex spouses can claim a half check on the same ex spouse...each ex spouse will get a full half check and not be sharing the money with the other ex spouses. One of my friends was in this position and did not have a friendly relationship with her ex spouse but the soc sec office was able to arrange for her half check without her having to contact her ex spouse at all.
i heard this is changing...can't confirm though...that you can no longer do this once the new rule takes effect
JMITW - what is changing is that it used to be possible to "file and suspend" meaning that the higher paid spouse could file for SS, then suspend benefits (and keep working) and the spouse could collect 1/2 of the
SS amount of the "suspended" account. As of April 29th, that loophole has been closed for "most" people and the higher paid spouse has to file and collect. No longer will the higher paid spouse be able to suspend in "most" cases. This article has a good explanation: [time.com] Nothing is simple.
SS amount of the "suspended" account. As of April 29th, that loophole has been closed for "most" people and the higher paid spouse has to file and collect. No longer will the higher paid spouse be able to suspend in "most" cases. This article has a good explanation: [time.com] Nothing is simple.
Shopping Southeast Pennsylvania, Delaware above the canal, and South Jersey since 2008
Sorry, only registered users may post in this forum.