Skip to main content

HOW MUCH CAN YOU WORK/EARN WHILE ON SOCIAL SECURITY RETIREMENT in 2025?

 

The following rules take effect January 1, 2025.

  • The Good News:   If you have reached full retirement age (FRA) and will be FRA for the entire year (2025) there is no limit on how much you can work/earn while on Social Security retirement (pension) benefits.  There are no penalties for working.
  • Earnings-Test Limit for Early Retirees: If you claim Social Security benefits before reaching full retirement age (FRA) -- age 67 for those born in 1960 or later -- you'll see the earnings-test limit increase to $23,400 in 2025. That's up from $22,320 in 2024. This means you can earn an extra $1,080 before the Social Security Administration starts withholding $1 from your benefits for every $2 you earn above the limit. Thus, if you earn twice the limit your entire Social Security pension will be forfeited.  Any benefits withheld due to the earnings test are not lost. You'll end up receiving higher monthly payments down the road because those benefits are returned to you.
  • Earnings-test limit for those reaching FRA in 2025: If you'll hit FRA in 2025 (but are not FRA for the entire year) the earnings-test limit is much higher. It jumps to $62,160. That's up from $59,520 in 2024. Beyond this point, $1 is withheld for every $3 you earn over the limit. This limit applies to individuals who are not yet Full Retirement Age but will become so during 2025.
IMPORTANT NOTE:  The earnings test does not apply to your resources, investments or worth.  It only applies to earned income from working and earning salary, wages, commissions, bonuses, etc.  It tests work-related income, not wealth. Also, this information applies only to Social Security pension/retirement benefits, not disability or SSI benefits.


Labels:

Comments

Post a Comment

Popular posts from this blog

IF I CHANGE ATTORNEYS WILL IT DELAY MY DISABILITY CASE?

No.  Getting a new attorney will NOT delay your pending Social Security disability claim or appeal .  Your new attorney "inherits" the case and picks up where the other attorney left off.  There is no re-filing or starting over, so your case is not set back or delayed at all.  Social Security maintains an electronic folder stored in its system.  This folder contains every document ever submitted concerning your claim or appeal.  Your new lawyer may log into your electronic files and see, in real time, all the evidence and other documents in your file. While we do not recommend changing attorneys while your case is pending a decision, it is sometimes necessary.  You may need a new lawyer if your attorney dies, retires or  becomes disabled before your case is settled.  You may choose a new attorney without delaying or causing any set back to your case. If you are considering obtaining a lawyer to handle your Social Security disability case in...
Post a Comment
Read more

URGENT MESSAGE FROM SOCIAL SECURITY'S TOP OFFICIAL - February 18, 2025

There is a lot of talk and speculation about Social Security in the new Trump Administration.  The acting commissioner of Social Security recently resigned and Lee Dudek has been appointed the new Acting Director. Today (2/18/2025) I received a message from the new Acting Commissioner Dudek.  Here is part of Director Dudek's message on Social Security for 2025:   Our continuing priority is paying beneficiaries the right amount at the right time, and providing other critical services people rely on from us. DOGE personnel CANNOT make changes to agency systems, benefit payments, or other information. They only have READ access. DOGE personnel do not have access to data related to a court ordered temporary restraining order, current or future. DOGE personnel must follow the law and if they violate the law they will be referred to the Department of Justice for possible prosecution.                      ...
Post a Comment
Read more

SOCIAL SECURITY DISABILITY APPLICATION PROCESS

  Here is a brief overview of what takes place after you file your Social Security disability application : Application confirmation  – Social Security will mail you a copy of your application to sign. You will have an opportunity to review the application, correct any errors, and send it back to Social Security for processing. You must return the signed application. Social Security will not process your application until they receive your signed confirmation. And they don't send reminders about this. Function report  – Social Security will mail you a form called a function report . This form will ask questions about your personal care, meals, house and yard work, getting around, shopping, money, hobbies and interests, social activities,  and other abilities. This form will help Social Security determine what you can and cannot do on a daily basis. It must be filled out carefully and fully and returned. Work history report  – Social Security will ma...
Post a Comment
Read more