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Old 05-15-2014, 05:57 PM
 
Location: SoCal desert
8,093 posts, read 13,229,344 times
Reputation: 14870

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Quote:
Originally Posted by blueridgerider View Post
When collecting SS at 62 and working part time, I understand the max you can make is the 15,480. Does that amount have to be divided up evenly per month or can you make 2k one mos, 1500 another and so on as long as you don't go over the max? We heard it had to be divided up evenly. Thanks.
It's monthly for the first year of retirement only.
After that it goes to annual.

From the booklet (linked above):

Special rule for the first year you retire
Sometimes people who retire in mid-year already have earned more than the annual earnings limit. That is why there is a special rule that applies to earnings for one year, usually the first year of retirement. Under this rule, you can get a full Social Security check for any whole month you are retired, regardless
of your yearly earnings.

In 2014, a person younger than full retirement age for the entire year is considered retired if monthly earnings are $1,290 or less. For example, John Smith retires at age 62 on October 30, 2014. He will earn $45,000 through October.

He takes a part-time job beginning in November earning $500 per month. Although his earnings for the year substantially exceed the 2014 annual limit ($15,480), he will receive a Social Security payment for November and December.

This is because his earnings in those months are $1,290 or less, the monthly limit for people younger than full retirement age. If Mr. Smith earns more than $1,290 in either of those months (November or December), he will not receive a benefit for that month.

Beginning in 2015, only the annual limit will apply to him.

Last edited by Gandalara; 05-15-2014 at 05:58 PM.. Reason: spacing
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Old 05-16-2014, 06:55 PM
 
Location: Palm Coast
212 posts, read 723,122 times
Reputation: 119
Thanks so much for clarifying that for us. We'll be sure to keep the tax man at bay! Thanks again!
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Old 05-16-2014, 09:32 PM
 
Location: Columbia SC
8,954 posts, read 7,729,944 times
Reputation: 12164
Quote:
Originally Posted by blueridgerider View Post
Thanks so much for clarifying that for us. We'll be sure to keep the tax man at bay! Thanks again!
As someone said, it can also vary for self employed people. When I was considering retiring (at age 62) and self employed, I set an appointment up with local SS Office (took time to get through and get the appointment) and they were very helpful. They laid it out in black and white for me.
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Old 05-17-2014, 06:24 AM
 
Location: Waterville
332 posts, read 428,082 times
Reputation: 775
Quote:
Originally Posted by Gandalara View Post
It's monthly for the first year of retirement only.
After that it goes to annual.

From the booklet (linked above):

Special rule for the first year you retire
Sometimes people who retire in mid-year already have earned more than the annual earnings limit. That is why there is a special rule that applies to earnings for one year, usually the first year of retirement. Under this rule, you can get a full Social Security check for any whole month you are retired, regardless
of your yearly earnings.

In 2014, a person younger than full retirement age for the entire year is considered retired if monthly earnings are $1,290 or less. For example, John Smith retires at age 62 on October 30, 2014. He will earn $45,000 through October.

He takes a part-time job beginning in November earning $500 per month. Although his earnings for the year substantially exceed the 2014 annual limit ($15,480), he will receive a Social Security payment for November and December.

This is because his earnings in those months are $1,290 or less, the monthly limit for people younger than full retirement age. If Mr. Smith earns more than $1,290 in either of those months (November or December), he will not receive a benefit for that month.

Beginning in 2015, only the annual limit will apply to him.
I found this very informative. Thank you for posting it.

But... I just applied for SS online and I stated that my last day of paid employment will be 5/30 and that I wanted my benefit to start on 6/1. However, in June I will receive checks from my employer - last check, lag pay, lump sum, etc. None of that will be earnings from June. I am wondering how the lag and lump check is treated. Hmm
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Old 05-17-2014, 09:45 AM
 
Location: OH>IL>CO>CT
5,231 posts, read 8,395,972 times
Reputation: 7185
Quote:
Originally Posted by foglover View Post
I found this very informative. Thank you for posting it.

But... I just applied for SS online and I stated that my last day of paid employment will be 5/30 and that I wanted my benefit to start on 6/1. However, in June I will receive checks from my employer - last check, lag pay, lump sum, etc. None of that will be earnings from June. I am wondering how the lag and lump check is treated. Hmm
See page 8 of http://www.socialsecurity.gov/pubs/EN-05-10069.pdf

where it says:
"Should you report changes in your earnings?

We adjust the amount of your Social
Security benefits in 2014 based on what
you told us you would earn this year. If
you think your earnings for 2014 will be
different than what you originally told
us, let us know right away."
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Old 06-22-2014, 07:01 AM
 
1 posts, read 1,684 times
Reputation: 10
will the annuity I receive as a death benefit from my husband
for life count as income? I am 58.5 and am looking to "get out" of full time at 60.
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Old 06-22-2014, 01:18 PM
 
Location: SoCal desert
8,093 posts, read 13,229,344 times
Reputation: 14870
Quote:
Originally Posted by seapointe View Post
will the annuity I receive as a death benefit from my husband
for life count as income? I am 58.5 and am looking to "get out" of full time at 60.
From the pamphlet linked above:
"For the earnings limits, we do not count income such as other government benefits, investment earnings, interest, pensions, annuities and capital gains."
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Old 06-22-2014, 01:21 PM
 
Location: Northern panhandle WV
3,007 posts, read 2,169,984 times
Reputation: 6691
Quote:
Originally Posted by yellowsnow View Post
You have made me really happy! I have been going back and forth about applying for H's survivor benefits partly because I have a pension and some royalty income. Well, turns out they don't count and I can get the full benefit. What does hurt you is money you go to work and earn. So as long as I don't make more than 15K actually working, I get the full benefit!
You get the full benefit IF you are FRA when you apply for the widows benefit, if you are not FRA you get a percentage less, based on how old you are when you start to collect. You must be at least 60 to apply for widow benefits, or 50 and disabled.
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Old 12-20-2014, 09:22 PM
 
1 posts, read 1,130 times
Reputation: 10
Does gross or net count if you are an employee
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Old 12-20-2014, 09:52 PM
 
Location: Saint Johns, FL
1,192 posts, read 941,534 times
Reputation: 1267
Gross
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