Can I work as a 1099 contractor while on Social Security at 62? Worried about hour limits

There is NO hourly limit for Social Security retirement beneficiaries. The person who told you that is confusing Social Security with something else. What matters is your earnings, not your hours. For 2025, if you're under Full Retirement Age (FRA) the annual earnings limit is approximately $22,320. Since you're making about $1,850 monthly as a contractor, that's roughly $22,200 annually - just under the limit. Be careful not to go over. As a self-employed person (1099), Social Security counts your net earnings after business expenses, not your gross income. Also, you'll need to pay both halves of FICA taxes (15.3% total) on your earnings through self-employment tax.

my brother in law is goin thru this right now. he said theres no hour limit but he has to watch how much he earns. he said he cant make more than like $1860 a month or somethng or they take back $1 for every $2 over. gets complicated with 1099 tho

The 45-hour rule you're thinking about might be related to the self-employment test the SSA sometimes uses, but that's primarily for disability (SSDI), not retirement benefits. For retirement benefits at your age, it's all about the earnings limit. Being a 1099 contractor does make things more complex though. You need to be aware that: 1. You'll report quarterly estimated taxes since taxes aren't withheld 2. You can deduct legitimate business expenses to lower your net earnings 3. You must report your earnings to SSA if you expect to exceed the annual limit Keep good records of all business expenses - this includes mileage, home office, supplies, etc. These deductions can help keep your net earnings under the limit.

Everyone's focusing on the earnings limit, which is absolutely correct, but I want to make sure you're aware of something else: as a 1099 contractor making $1,850/month, you'll be very close to the annual limit. What happens if your client wants extra work one month? Or gives you a small raise? You could end up over the limit easily. For every $2 you earn over the annual limit, SSA will deduct $1 from your benefits. And they don't just reduce your monthly payment - they might stop payments entirely for some months until the reduction is satisfied. I'd suggest calling SSA directly to discuss your specific situation, but good luck getting through to them! I spent WEEKS trying to get someone on the phone before I found Claimyr (claimyr.com). They got me connected to an SSA agent in under 10 minutes. Check out their demo video: https://youtu.be/Z-BRbJw3puU - it really works and saved me so much frustration when I needed to discuss my own work situation with SSA.

The whole system is RIDICULOUS!!! Why should we be penalized for working?? I worked for 40 years paying into this system and now they tell me I can't work without getting my benefits cut?? The government just wants to control everything we do!!! And don't even get me started on how they calculate benefits for people who worked government jobs with pensions (WEP/GPO)...

I've been a 1099 contractor for 3 years while collecting Social Security. The 45-hour thing is definitely not true for retirement benefits. I work 60+ hours some months with no issues. However, I track EVERYTHING. Every expense, every mile driven, every home office supply. This significantly reduces my net earnings for SS purposes. I also set aside 25-30% of everything I make for quarterly estimated taxes (self-employment tax is brutal). My personal strategy: I aim to keep my net earnings about $1,000 below the annual limit as a safety buffer. If I get close to the limit by October, I take a "vacation" for the rest of the year. Better safe than sorry.

wait i just rememberd somethin important - if this is ur first year on SS and workin they have a different rule for the first year. something about monthly limits instead of yearly? anyone know about this?

Thanks everyone for the great information! So to summarize what I've learned: 1. There is NO 45-hour work limit for retirement benefits (that might be for disability) 2. The annual earnings limit for 2025 is about $22,320, just above what I expect to earn 3. As a 1099 contractor, it's NET earnings that matter (after business deductions) 4. I should track all possible business expenses carefully to reduce my countable income 5. Since this is my first year collecting, there's a special monthly earnings test 6. I'll need to set aside money for self-employment taxes I'm feeling much better about taking this job now, though I'll be careful to stay under the limits. I might still contact Social Security directly to confirm all this for my specific situation using that Claimyr service someone mentioned. Thanks again!

My sister was told theres a 960 hour limit for the year which is like 80 hours a month. So confusing why everyone gets different information!!!