U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Retirement
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 10-02-2009, 12:22 PM
 
Location: So. Dak.
13,495 posts, read 34,060,708 times
Reputation: 15063

Advertisements

I have read several of the things about social security, but I'm still confused about a couple of things and I know this is the right place to ask.

My husband is 63 years old, works fulltime, and does not receive social security at this time. He has been offered a part time job and they have offered him benies of which health insurance is the biggie for us.

1. I believe that the income he could earn next year and still receive his full SS check will be in the area of 14,000. Does that sound correct or does anyone know the exact amount?

2. Also, he would then apply for state retirement benies, but my understanding is that would have no affect on his SS check since it is not actually EARNED income. Is that correct? They wouldn't count that for him having to pay back $1 for every $2 that he is over, would they?

3. There is something about an amount that is in the area of 36,000 before SS would be taxed. Does anyone have some info on this? Would this be JUST the recipients EARNED income? Would the retirement $$ be included in this or would my income be included? Do they add the amount received from SS be included in that amount?

Thank you in advance to anyone who can help us out.
Reply With Quote Quick reply to this message

 
Old 10-02-2009, 12:33 PM
 
1,995 posts, read 2,970,857 times
Reputation: 15824
You should be able to get that information on their info line: 1-800-772-1213 or 1-800-325-0778 (TTY) or by visiting their website at: www.socialsecurity.gov

I believe the limit you are referring to is $14,160 for 2009.
Reply With Quote Quick reply to this message
 
Old 10-02-2009, 08:02 PM
 
4,948 posts, read 16,520,958 times
Reputation: 2866
If he retires early that would hurt what you do get from S.S. The best information comes from
talking with S.S. before he does retire. Also that would be early and costly, if he has a job I would stick
with it. I also think there may be a clause double dip for a pension without S.S.
Reply With Quote Quick reply to this message
 
Old 10-02-2009, 08:15 PM
 
48,516 posts, read 83,912,172 times
Reputation: 18050
No; his retiement is not eran income for SS purposes.Your income is not included.He can expect to get very close tot eh amount stated in his last SS satement since he is at the 62 retirement age.If the part time job pays the insurnce fully ;deepnding on thwe policy that could be worth upto $1000-2000 a month itself.
Reply With Quote Quick reply to this message
 
Old 10-02-2009, 08:19 PM
 
Location: Sacramento
13,784 posts, read 23,805,237 times
Reputation: 6195
Government benefits, or pensions, do not count as earnings against your social security benefits.

If you are younger than full retirement age (66 years old) during all of 2009, they deduct $1 from your benefits for each $2 you earned above $14,160.

Since no benefit changes are currently planned for 2010, I believe the same numbers would apply next year too.
Reply With Quote Quick reply to this message
 
Old 10-02-2009, 08:28 PM
 
4,948 posts, read 16,520,958 times
Reputation: 2866
Quote:
Originally Posted by NewToCA View Post
Government benefits, or pensions, do not count as earnings against your social security benefits.

If you are younger than full retirement age (66 years old) during all of 2009, they deduct $1 from your benefits for each $2 you earned above $14,160.

Since no benefit changes are currently planned for 2010, I believe the same numbers would apply next year too.
If you have a state or city etc pension which no S.S. was taking out there
is a clause with S.S. If you did pay into S.S. with this you are OK
Best information is talk with them direct and where your pension will come from then decide. Partime also they may decide to cut the health benefits
so be carefull. Also when you get the S.S. based on what he earns and how you do file you may owe taxes on the S.S.
Reply With Quote Quick reply to this message
 
Old 10-02-2009, 08:41 PM
 
Location: Sacramento
13,784 posts, read 23,805,237 times
Reputation: 6195
Quote:
Originally Posted by maggiekate View Post
If you have a state or city etc pension which no S.S. was taking out there
is a clause with S.S. If you did pay into S.S. with this you are OK

Best information is talk with them direct and where your pension will come from then decide. Partime also they may decide to cut the health benefits
so be carefull. Also when you get the S.S. based on what he earns and how you do file you may owe taxes on the S.S.
I don't understand the part I bolded above. If you have a state or city pension and didn't have social security taken out, absent other sufficient income you wouldn't be elegible for social security benefits. However, if you have both a pension and had social security deducted from your earnings, you are entitled without an offset.
Reply With Quote Quick reply to this message
 
Old 10-03-2009, 01:01 PM
 
Location: So. Dak.
13,495 posts, read 34,060,708 times
Reputation: 15063
Thank you to everyone who replied. I did pick up some very valuable info here. I had read on the SS site, but was having problems finding the answers to my specific questions. DH had called the SS toll free number a couple days ago and couldn't get his calls to go through. It's possible they were just having phone problems or something that day so he'll definitely just have to try again. Or better yet, he may just have to stop in the office the day the SS rep is in town.

NewtoCa, I'm wondering if Maggie could've been referring to the fact that in a few states, educators don't pay into the SS fund, but into their own retirement fund. Often they go out and work a few years at another job so they can also receive SS. That's not our situation though.

I should also clarify that he wouldn't be doing the double dipping since the job offer isn't state, county, school, or city related and he'd no longer be paying into the SDRS. Actually, it's my understanding that our state plans on amending something so that double dipping wouldn't be possible anymore.

It's disappointing that they won't be raising the 14,160 amt. for next year.

We're just sort of tossing things around right now. There definitely is quite a difference in what you receive if you take early retirement or if you stick it out until the end. At one time, I think we figured we'd have to draw on it 13 years in order for it all to equal out. Anyway, thank you for taking the time to answer my questions.

Just adding~Sorry, I figured I'd have a follow up question after I reread the info. Have they changed something with SS? When my parents received it, I believe it was $1 for every $2 earned over a certain amount, but when they hit 65, it dropped to $1 for every $3 earned and when they hit 70, there was no cap. Does it always stay at the 1 for every 2 earned over the limit now?
Reply With Quote Quick reply to this message
 
Old 10-03-2009, 03:28 PM
 
Location: Sacramento
13,784 posts, read 23,805,237 times
Reputation: 6195
As I understand social security, it works out as follows:

- If you are under "full retirement age", they deduct $1 for every $2 you earn above $14,160.

- The first full year after you turn "full retirement age" you have no offset, you can earn as much as you want with no loss of benefits.


The difficult year for me to understand is the year you actually turn "full retirement age". As I understand it they only count the earnings up until the month before you turn "full retirement age". I believe the limit is $37,680, and then if you earn over this they offset $1 for every $3 you earn over that limit. Beginning the month you reach "full retirement age", you have unlimited earnings with no offset from social security.

The reason I find this difficult to understand is it seems to be punitive against folks whose birthdate is later in the year. I would think that instead, they would have a monthly amount, and it would result in a proration instead of a flat earnings limit. However, as I understand it, the flat limit of $37,680 is the process they use.
Reply With Quote Quick reply to this message
 
Old 10-03-2009, 06:33 PM
 
4,948 posts, read 16,520,958 times
Reputation: 2866
Quote:
Originally Posted by NewToCA View Post
I don't understand the part I bolded above. If you have a state or city pension and didn't have social security taken out, absent other sufficient income you wouldn't be elegible for social security benefits. However, if you have both a pension and had social security deducted from your earnings, you are entitled without an offset.
Some states if you are a police officer teacher work for the city or state
are not part of the S.S. systems. They have there own retirement. Many
people work long enough there to get a retirement. Then they get a job
that is under the S.S. system so they may get that benefit also. I think
that is what S.S. means about the private pension where no S.S. was taken out. If that doesn't apply you are OK, if it does ask them to explain it. On the S.S. web siste they have this calulator to get an example. The taxes come in with all income above the allowed amount for single 25,000 etc.
you take one half of the S.S. and your income after deductions and if you go over that am't then the gov't does tax you on the S.S. There site explains it
but it may get complicated.

Last edited by maggiekate; 10-03-2009 at 06:42 PM..
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Retirement
Similar Threads
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top