I just went through this exact same situation about 3 months ago! Got an unexpected $134 payment the day before my regular Social Security deposit and I was so worried it was a mistake. Turned out to be a Medicare Part B premium adjustment - they had been using my income information from 3 years ago instead of 2 years ago, so they were deducting too much from my monthly payments. The $134 was a refund for the overpayment. The explanation letter took exactly 3 weeks to arrive, but it showed up in my mySSA message center after about 8 days. What really helped me was logging into mySSA every couple days to check - the explanation appeared there way before the physical letter. Based on all the great responses here, it sounds like these automated adjustments are super common and almost always legitimate. The timing (day before your regular payment) is actually a good indicator that it's a real system-generated correction rather than an error. I'd definitely recommend keeping it in a separate account until you get the explanation, but try not to stress too much about it. In my case and seemingly everyone else's here, it turned out to be money I was actually entitled to. Please update us when you find out what it was for - these threads are so helpful for future people dealing with the same thing!

I'm also fairly new to Social Security and had a very similar experience about 2 months ago - got an unexpected $162 payment that appeared the day before my regular deposit. Like everyone else here, I was really worried it might be an error that I'd have to pay back later. After reading through all these responses and comparing them to my own situation, I'm amazed at how common these adjustments seem to be! Mine ended up being related to a Medicare Part C (Medicare Advantage) premium change that I had made earlier in the year. Apparently it took several months for their systems to process the change and calculate that they had been deducting too much from my benefits. The explanation letter took about 2.5 weeks to arrive, which seems pretty consistent with what everyone else experienced. What I found most helpful was checking my mySSA account every few days - the explanation showed up there about 10 days after the deposit, well before the letter arrived. One thing I'd add is that when the explanation letter finally came, it was actually much more detailed than I expected. It showed exactly which months the correction applied to and broke down the premium calculations. So when you do get yours, it should give you a very clear picture of what happened. Hang in there - based on everyone's experiences here, these automated payments are almost always legitimate corrections in your favor!

I've been through this process recently and wanted to add one more important point that hasn't been mentioned yet - make sure you're clear about what type of self-employment income you're reporting. For construction contractors, the SSA wants to know about NET earnings from self-employment (after business expenses like materials, equipment, gas, etc.) but BEFORE personal tax deductions. So if your husband has $30K in gross receipts but $7K in legitimate business expenses, you'd report $23K - which sounds like exactly what you calculated. Just make sure you have good records of those business expenses in case SSA asks for documentation later. Also, since he's scaling back significantly, it might be worth having him formally document the change in his business structure. Maybe reducing from full-time sole proprietor to part-time consultant, or changing his business registration to reflect the reduced scope. This creates a paper trail that supports your income estimate if there are ever questions. The earnings test is definitely tricky for self-employed folks, but the fact that you're being proactive about understanding it puts you way ahead of most people. Document everything and you'll be fine!

I'm in a very similar situation and this thread has been incredibly helpful! My husband is also self-employed (landscaping) and we're planning to file soon. One thing I wanted to add that might help others - when we spoke to our accountant about the income estimate, he suggested keeping quarterly records of both income AND hours worked starting as soon as benefits begin. He said this helps in two ways: 1) if SSA ever questions the "substantial services" rule that someone mentioned earlier, you have clear documentation of reduced hours, and 2) if your actual income varies significantly from your estimate, you can show SSA exactly when and why the changes occurred rather than trying to reconstruct everything at year-end. For construction and similar seasonal work, he also recommended being extra careful about those first few months of the year when work might be slower, then picking up in spring/summer. The monthly earnings test can catch people off guard if they have a couple lean months followed by busy ones. Thanks to everyone who shared their experiences - this is exactly the kind of real-world advice that's impossible to find in the official SSA publications!

Medicare enrollment is separate from Social Security and doesn't begin until age 65, regardless of when you start your Social Security benefits. When you turn 65, you'll have a 7-month Initial Enrollment Period (starting 3 months before your birth month) to sign up for Medicare Parts A and B. If you're still covered by employer health insurance when you turn 65 (either your own or a spouse's), you might be able to delay Medicare enrollment without penalties.

Just want to add some clarity on the conflicting information about the earnings test - both the monthly and annual tests can apply in your first year of benefits. In the year you start collecting (2025), SSA will use whichever test is more favorable to you. The monthly test ($1,860/month after August) protects earnings before you start benefits, but they'll also check the annual limit ($22,320 for the full year). If your total 2025 earnings exceed $22,320, you could still face an overpayment even if you stayed under the monthly limits after filing. Given your numbers ($18,500 by July + $10,000 part-time = $28,500 total), you'd be over the annual limit and might owe back about $3,090 in benefits. I'd recommend calling SSA directly to confirm how they'll apply the test in your specific situation before making your final decision.

This thread has been incredibly helpful! I'm in a somewhat similar situation but with a twist - my husband will be eligible for benefits before me, and I'm trying to understand if the same principles apply in reverse. From what I'm reading here, it sounds like the key is being proactive about communicating your timing preferences to SSA rather than assuming they'll automatically do what's best for you. The math breakdown that Alice provided really drives home how important it is to run the actual numbers rather than just assuming waiting is always better. I'm definitely going to bookmark this discussion and use some of these strategies when we start navigating our own claiming decisions. Thanks to everyone who shared their experiences - it's so much more valuable than the generic information you find on most websites!

As someone who just went through this process with my parents last year, I can confirm what others have said about needing to be very explicit with SSA about your timing preferences. One thing I'd add that hasn't been mentioned yet - when your wife does eventually apply for the spousal benefit (whether at 5 months before FRA or at FRA), make sure she asks about retroactive benefits. If there's any delay in processing her application, she might be entitled to back payments to her eligibility date. Also, consider setting up a my Social Security account for both of you if you haven't already. It makes tracking everything much easier and you can send secure messages to SSA through the platform instead of waiting on hold. The message center has been a lifesaver for documenting our requests and keeping records of their responses.

Welcome to the community! As someone who's been collecting Social Security for a few years now and has dealt with similar 1099 work situations, I wanted to add a couple of things that might be helpful. First, since you're doing product demonstrations at trade shows, make sure you understand the difference between "substantial services" and just earning income. SSA looks at whether you're providing substantial services in self-employment, not just the dollar amount. For demonstration work that's clearly defined and limited in scope like yours, you should be fine, but it's worth understanding this distinction. Also, regarding the IRMAA mention in your original post - that's smart thinking ahead! Just remember that IRMAA is based on your tax return from two years prior, so your 2025 earnings won't affect your 2025 Medicare premiums, but could impact 2027 premiums if you have other income sources pushing you over the thresholds. One more tip: if you end up having a really good month and get close to that $1,860 limit, you can sometimes shift when you invoice or receive payment to help manage the monthly earnings test. Just make sure you're not manipulating the actual work performance dates - only the payment timing. The trade show circuit can be really rewarding work, and it sounds like you've got a good handle on the compliance side. Best of luck with your new venture!

Welcome to the community! Your situation is very similar to what I went through when I started collecting at 66 and then took on some freelance work. You're asking all the right questions upfront, which is great. One thing I'd add to the excellent advice already given - since you're doing product demonstrations, keep track of any products you purchase for demonstration purposes, even small items. I did kitchen product demos for a while and was able to deduct things like serving utensils, plates for sampling, cleaning supplies, and even replacement items when things got damaged during demos. Also, for the quarterly tax payments, I found it helpful to open a separate savings account just for tax money. Every time I got paid, I'd immediately transfer 30% to that account so I wouldn't accidentally spend it. Made those quarterly payments much less stressful! The trade show circuit can be really enjoyable work - you get to meet interesting people and the weekend schedule works well with Social Security planning. Just stay organized with your record keeping and you'll do fine. The fact that you're being so thorough about understanding the rules before you start tells me you'll handle this well.