Ask Stacy: Can I Work While Getting Social Security?

Photograph by gpointstudio /

Welcome to “Ask Stacy,” a brief video function answering cash questions submitted by readers and viewers. You possibly can discover ways to ship in a query of your individual beneath.

If you happen to’re not usually a video watcher, give it a strive. These movies are quick and painless, and also you’ll be taught one thing invaluable. However when you can’t take care of video, no drawback: Simply scroll down this web page for the complete transcript of the video, in addition to some reader assets.

As we speak’s query is about Social Safety — particularly, about persevering with to work after these checks begin rolling in.

The query isn’t a lot about whether or not you can work. After all you possibly can; it’s a free nation. What’s actually being requested is what occurs to your advantages must you work after making use of for Social Safety.

Right here’s the reply.

For extra data on this matter, try “The Hazard of Working Whereas Amassing Social Safety” and “14 Methods to Maximize Your Social Safety Checks.” You may also go to the search on the prime of this web page, put within the phrases “Social Safety” and discover loads of data on nearly all the pieces regarding this matter. Lastly, you’ll want to go to the Social Safety web page of our Options Heart.

Bought a query of your individual to ask? Scroll down previous the transcript.

Don’t need to watch? Right here’s what I mentioned within the video

Hi there, everybody, and welcome to your cash Q&A query of the day. I’m your host, Stacy Johnson, and this query is delivered to you by, serving up the most effective in private finance information and recommendation since 1991.

Our query at the moment comes from John. John says:

“I perceive that after my full retirement age, there’s no restrict to the quantity I can earn with out my Social Safety being diminished. Is that right?”

Earlier than I reply the query, let me convey these of you who aren’t conversant in this matter in control.

In the case of Social Safety, there are just a few ages to know. First, you’ve received your full retirement age, which is the age at which you’re eligible to your full profit. This age differs relying on while you have been born, but it surely ranges from 65 to 67, with most individuals nowadays falling between 66 and 67.

You may also take a diminished profit at age 62.

Lastly, you may get an elevated profit by ready till age 70 to start gathering your month-to-month profit.

Now, let’s discuss working and Social Safety.

I’m the right instance for this query, as a result of I’m 62. So I can get a diminished Social Safety profit now. Primarily based on my date of beginning (1955), my full retirement age is 66 and two months. What John is asking me to substantiate is that, after I attain age 66 and two months, my Social Safety gained’t be diminished if I earn cash on the facet.

John is right. My Social Safety won’t be diminished once I earn cash on the facet after I attain my full retirement age. Nonetheless, ought to I select to take my Social Safety earlier than that age, and I additionally proceed to work, my Social Safety funds can be diminished. The discount is $1 for each $2 I earn over a sure threshold. That threshold adjustments, however for 2018 it’s $17,040.

Let’s say I take my Social Safety now at 62, and earn $18,040 this yr. That’s $1,000 over the brink, so my Social Safety’s going to be diminished by $500 — once more, that’s $1 for each $2 I earned over $17,040.

The lesson right here: We don’t need to take our Social Safety early if we’re incomes over $17,040, as a result of we don’t need to see our Social Safety diminished. If attainable, we’re higher off utilizing the revenue we’re incomes and ready till our full retirement age. Then we are able to earn as a lot as we would like and our Social Safety gained’t be diminished.

I hope that solutions your query, John. I’ve given you the broad strokes, however you can even go to this web page of for extra.

Let’s shut with our quote of the day. This comes from the American author Rachel Caine.

“You’d be stunned what folks will do for cash that they wouldn’t do for love.”

Form of a miserable thought, however a thought nonetheless. Meet me right here subsequent time and make it a worthwhile day!

Bought a query you’d like answered?

You possibly can ask a query just by hitting “reply” to our e mail publication, simply as you’d any e mail in your inbox. If you happen to’re not subscribed, repair that proper now by clicking right here. It’s free, solely takes just a few seconds, and can get you invaluable data day-after-day!

The questions I’m likeliest to reply are these that may curiosity different readers. In different phrases, don’t ask for super-specific recommendation that applies solely to you. And if I don’t get to your query, promise to not hate me. I do my finest, however I get much more questions than I’ve time to reply.

About me

I based Cash Talks Information in 1991. I’m a CPA, and have additionally earned licenses in shares, commodities, choices principal, mutual funds, life insurance coverage, securities supervisor and actual property.

Bought any phrases of knowledge you possibly can supply on at the moment’s query? Share your data and experiences on our Fb web page. And when you discover this data helpful, please share it!

Bought extra money questions? Browse heaps extra Ask Stacy solutions right here.

Leave a Reply

Your email address will not be published. Required fields are marked *


%d bloggers like this: