One more important detail - the earnings test only counts wages or self-employment income. It doesn't count investment income, pension payments, annuities, capital gains, or government benefits. So if any of your income comes from these sources, they won't count toward either the monthly or annual limits. And remember that the earnings reduction isn't a permanent loss. Once you reach your Full Retirement Age, your benefit will be recalculated to credit back the months when benefits were withheld.

Just wanted to add my experience as someone who went through this exact decision last year. I was 64 and had a similar situation with irregular income from freelance work. I ended up starting benefits in March after earning about $20k in Jan/Feb, then stayed under the monthly limit the rest of the year. The key thing I learned is to keep detailed records of your monthly earnings - not just annual totals. SSA will want to see month-by-month breakdowns if there's any question about whether you exceeded the monthly limits. I used a simple spreadsheet tracking gross income by month which made everything much clearer when I had to provide documentation. Also, if you're doing contract work, make sure you understand how they count the income. It's when you EARN it, not when you get paid. So if you do work in January but don't get paid until March, that income counts toward January for the earnings test purposes.

Just wanted to add one more important tip from my experience - keep really detailed records of your monthly earnings throughout 2025! Even though you only need to worry about the annual limit, having month-by-month documentation will save you a huge headache if SSA ever questions your reported earnings. I use a simple spreadsheet with dates, sources, and amounts. Also, if you do end up going over the annual limit, the benefits they withhold get added back to your future payments once you reach FRA, so it's not completely lost money - just delayed. Good luck with your consulting work!

This thread has been super helpful! I'm in a similar situation - retired at 66 last September and have been stressing about the earnings limits. One thing I wanted to add that my SSA representative mentioned: if you're doing consulting work, make sure you understand how they calculate "net earnings from self-employment." It's not just your gross income - you can deduct legitimate business expenses first. So if that $4,500 consulting gig costs you $500 in equipment, travel, or other business expenses, only $4,000 counts toward your earnings limit. This can make a real difference if you're doing contract work! Also seconding what others said about keeping detailed records - I learned this the hard way when I couldn't find receipts during tax season.

I'm so sorry for your loss. This is such a difficult time to have to deal with these complicated financial matters. I went through something similar when my father passed away two years ago. The Social Security payment system is really confusing - they pay in arrears but require you to live the entire month to be eligible. It sounds like you've already gotten great advice here and have things sorted out with SSA. Just wanted to add that you might also want to notify his bank about the passing if you haven't already, as they'll need to know for account management purposes. Take care of yourself during this challenging time.

I'm really sorry for your loss. Going through bureaucratic processes while grieving is incredibly difficult. It sounds like you've gotten excellent guidance from this community and have things well in hand with SSA now. Just wanted to mention that when my grandfather passed, we also had to deal with Medicare Part B premiums that were deducted from his Social Security - those had to be sorted out separately with Medicare. Also, if your father had any automatic bill payments set up from his bank account, you'll want to review those soon since the SSA payment reversal might affect the account balance. Wishing you strength as you work through settling his affairs.

I'm so sorry for your loss, Avery. It sounds like you've been incredibly thorough in handling all the estate matters. I went through something similar with my grandmother's estate last year, and the waiting on hold with SSA was brutal - but you got through it! One tip for anyone else reading this thread: when you receive that form from SSA, make copies of everything before you send it back. I learned this the hard way when SSA claimed they never received my paperwork the first time. Certified mail with return receipt is worth the extra cost for peace of mind. It's great that you were proactive about this. Many people don't realize they need to handle these payments separately from just reporting the death, and it can create bigger headaches down the road.

I'm dealing with a similar situation right now with my mother's estate. One thing I learned from my attorney is that you should also notify the bank (or whoever is handling the estate account) about this SSA repayment situation. They may need to keep sufficient funds available in the estate account until this is fully resolved, especially if there are other estate debts or distributions pending. The last thing you want is to accidentally distribute estate funds and then not have enough left to cover the SSA repayment when they process it. Good luck with everything - you're handling this much better than I did when I was going through it!

My aunt thought she was gonna get backpay for the COLA starting from her birthday month all the way to January lol. I had to explain that's not how it works! The SSA does such a bad job explaining this stuff.

As someone who just went through this process myself, I wanted to add that you can actually see the exact dates and amounts on your my Social Security account online. If you log in and go to "Message Center" they usually send you a notice in December explaining the COLA increase and when it takes effect. Also, don't panic if your first payment with the increase seems delayed - sometimes there are processing delays in January/February that can push payments back a day or two, but you'll still get the full increased amount. The key thing everyone's mentioned is correct - January increase, but you see it in your February deposit!