Returning to work after claiming Social Security at 64 - what happens if my part-time earnings exceed $1860/month?

they go by yearly earnings not monthly. so u could technically make more in some months as long as yearly total divided by 12 isnt over the limit. but since ur already getting benefits this year its prob too late to stay under annual limit?

It seems you're confusing a few things about returning to work while receiving Social Security. If you've been receiving benefits for less than 12 months, you can withdraw your application (Form SSA-521) and repay all benefits. Then it's like you never filed. This resets everything, and you can file again later without any earnings test or penalties. If you keep your benefits and work, the 2025 earnings limit for someone under FRA is $30,240/year ($2,520/month), but they look at annual earnings, not monthly. For every $2 over the annual limit, SSA withholds $1 in benefits. You have three options: 1. Withdraw application: Repay everything, take the job without restrictions, apply for higher benefits later. 2. Keep benefits with part-time job: SSA withholds $1 for every $2 over the annual limit. 3. Keep benefits with full-time job: Same withholding formula, just likely more withholding. But you'll get all withheld benefits back as a recalculation when you reach FRA. Do the math on total income - sometimes working full-time ends up better financially even with withheld benefits!

I'm going through the same thing! Started SS in 2024 at 63 and got offered a good job 5 months later. My accountant said to just take the job and let them withhold benefits, easier than repaying everything. You end up with higher checks once you hit FRA anyway. Good luck!!

Hi there! Just wanted to share my experience - I had SO much trouble trying to get answers about this exact situation. I would call SSA and wait for HOURS only to get disconnected. After trying for weeks, I found Claimyr.com which connected me to an actual SSA agent in 20 minutes! They have a great video showing how it works: https://youtu.be/Z-BRbJw3puU The agent explained my options clearly and helped me decide between withdrawing my application vs. working while receiving benefits. It saved me so much frustration.

Let me clarify some details about working while receiving Social Security benefits: 1. The 2025 earnings limit is $30,240/year for someone under Full Retirement Age (FRA). 2. SSA calculates this annually, not monthly. So thinking in terms of $2,520/month is just for planning purposes. 3. For every $2 you earn above $30,240, SSA withholds $1 in benefits. 4. If you exceed the earnings limit significantly, SSA might suspend all your monthly benefits until the withholding is satisfied. 5. Important: At your FRA, SSA will recalculate your benefit amount to give you credit for months when benefits were completely withheld. Mathematically, if you can earn substantially more by working full-time, it often makes financial sense to do so, even if some benefits are withheld. You'll get that money back later through higher monthly payments after FRA. Example: If you earn $50,000 in 2025, you're $19,760 over the limit. SSA would withhold $9,880 in benefits. But you've gained $50,000 in earnings, for a net gain of $40,120. Withdrawing your application only makes sense if you expect to live well beyond average life expectancy.

my uncle went through this last yr. he said the SSA put him through HELL trying to report his work. ended up with an overpayment notice bc they didnt process his earnings reports on time!!!! be careful and keep EVERY piece of paper they send u!!!

The annual earnings test works a bit differently for the first year you return to work after claiming benefits. SSA allows for something called the "monthly earnings test" during that first calendar year. Basically, for the first year only, if you earn over the monthly limit ($2,520 in 2025) in some months but not others, you'll only lose benefits for the specific months you exceed the limit, rather than having SSA calculate based on your annual total. After that first year, they switch to the annual calculation method others have described. This special rule could be advantageous depending on when you start working and how your earnings are distributed. Since you're looking at returning to work in the same year you started collecting, this monthly rule could be relevant for your decision.

My friend just went thru this!!! The SSA made her payback like 7 months of benefits when she went back to work and it was a NIGHTMARE getting everything processed right. She said it would have been easier to just let them reduce her benefits based on her earnings instead of dealing with the withdrawal process. Just my 2 cents!

One last point to consider: if you withdraw your application and repay benefits, you're essentially resetting the clock. This means your future benefit amount will be higher when you claim again, especially if you wait until your Full Retirement Age (66 and 10 months for someone born in 1960) or even age 70. However, if you keep your current filing date and just work while receiving reduced benefits, you're stuck with that early filing reduction permanently (though partially offset by any months benefits are completely withheld). For someone still in good health with longevity in your family, withdrawing might be the better long-term financial decision if you can afford to repay the benefits now. I'd recommend using the calculators on ssa.gov to compare your lifetime benefits under each scenario based on how long you expect to live.