How much can I earn while on social security?
When you are receiving Social Security retirement benefits and are under your full retirement age, there is a limit to how much you can earn before your benefits are reduced. The amount you can earn without affecting your benefits changes each year.
Here are some key points to keep in mind:
- In 2021, if you are under your full retirement age for the entire year, you can earn up to $18,960 without any reduction in your benefits.
- For every $2 you earn above $18,960, $1 is deducted from your benefits.
- In the year you reach full retirement age, the earnings limit is higher - $50,520 in 2021.
- For every $3 you earn above $50,520 in the year you reach full retirement age, $1 is deducted from your benefits.
- Once you reach full retirement age, there is no limit on how much you can earn while receiving Social Security benefits - your benefits will not be reduced no matter how much you earn.
- If your benefits are reduced because of excess earnings, they will be recalculated at full retirement age to account for the months in which benefits were withheld.
It's important to keep these limits in mind and report any earnings accurately to the Social Security Administration to avoid any overpayments or penalties. For more detailed information, you can visit the official Social Security website or contact your local Social Security office.
