Does SS count a state retirement as working income?

[northwesty]

Originally Posted by North Beach Person

Fine, whatever you say. Oh, what would you call the $1 penalty for every $2 earned?

Spoken like a true bureaucrat.

I will try to clarify for you one more time. His earned income (from his part-time job) MAY impact his SS benefit if he exceeds the income limit. His state pension is exempt and WILL NOT be included with his earned income in calculating any penalty. His pension only becomes relevant when his total income for the year (pension and earned) determines IF or at what rate his SS benefit will be taxed.

That is the best I can do... and will do.

And, for the record I am a retired academic... so i guess this was spoken like a true academic.

[tangelag]

Originally Posted by northwesty

Your pension is not counted as "earned income" for purposes of calculating your social security benefit. It IS included in your overall income to determine how much of your SS benefit is taxable.

Correct

[arwenmark2]

Beach person, the question was is his pension considered earned income
by SS and the answer is no it is not.
it IS considered as far as taxable income. The one dollar for every two is
after the 15k plus amount and again on EARNED income

[ekman243]

Also let me add, when you reach full retirement age in the op case 66, SS will give back the money that they took from you because your earned income exceeds the threshold amount