Social Security earnings limit before and after FRA in 2025 - turning 66 and 8 months (born 1958)

The earnings test works differently in the year you reach FRA versus before that year. For 2025 (numbers are estimates since official 2025 limits aren't published yet): 1. From January 1 until the MONTH you reach FRA (so through April 2025 for you), you can earn approximately $62,000 before any deductions happen. That's using the 2024 limit of $59,520 with a small COLA increase. 2. After you reach FRA in May 2025, there is NO LIMIT on how much you can earn! The earnings test disappears completely once you hit your full retirement age. The monthly rule is for the first year you claim benefits. Since you started at 62, that doesn't apply to you now. Only earned income counts - wages, self-employment. Not investment income, pensions, etc.

Hi there. I see some incorrect info above. For the year you reach FRA, the earnings limit applies only until the ACTUAL MONTH you reach FRA, not the month before. So for you, the limit applies January through May (not April). The limit is different in your FRA year than in previous years - it's higher. Also, SSA only counts earnings up to the day you reach FRA, not the full month. So technically, you have no limit after May 23, 2025.

Let me clarify this since there seems to be confusion: 1. In the year you reach FRA (2025 for you), the earnings limit is much higher than previous years - approximately $62,000 as someone mentioned. 2. This higher limit applies only from January 1, 2025 until THE DAY you reach FRA (May 23, 2025) - not the full month of May and not just through April. 3. After May 23, 2025, there is NO earnings limit whatsoever. You can earn millions and it won't affect your Social Security benefits. SSA only counts earnings received until the exact day you reach FRA. So earnings from May 24-31 don't count toward the limit. And to be perfectly clear: only earned income (wages, self-employment) counts toward these limits, not your entire AGI. Investment income, pensions, annuities, etc. don't count at all.

i went thru this last yr & let me tell u what happens if u go over - they take $1 for every $3 u earn over the limit for those months before FRA. but its not as bad as before ur FRA year when they take $1 for every $2. and they dont just deduct it all at once they spread it out which was a relief 4 me.

BEWARE!!! SSA accounting is TERRIBLE!! I went through this last year and they messed up my calculation completely. They counted income I earned AFTER my FRA in the calculation and reduced my benefits incorrectly. Took me 6 MONTHS and countless phone calls to fix. Document EVERYTHING and keep ALL your paystubs organized by date!!

Wait im confused why r u saying u get SS at 62 but also turning FRA in 2025? If u already get SS how r u just reaching full retirement age? Am I missing something?

I just got off the phone with SS after a 2 hour wait! They confirmed what you all said - my limit is about $62,160 (they gave me the exact number) from Jan 1 to May 23. After that, no limit at all. But the rep warned me that if I earn too much in those early months, I might have to pay back some benefits. I'm going to try to stay under the limit to be safe. BTW they also told me to report my expected earnings for 2025 in advance using the SSA website, which I didn't know was possible!

Just wanted to add one more thing that might be helpful for your planning - when you do reach FRA in May, you'll also become eligible for delayed retirement credits if you decide to delay claiming further increases to your benefit. Since you're already receiving benefits, this doesn't apply to you, but it's worth knowing that the earnings test elimination at FRA is permanent. Also, regarding work scheduling - since you know your exact limit now ($62,160 through May 23), you might want to calculate backwards from that number to figure out your safe hourly/weekly earnings rate for those first 4+ months. That way you can give your boss a clear answer about the additional hours without risking going over the threshold. Good luck with your work planning for 2025!

One additional tip that might help with your planning - since you're concerned about managing your earnings carefully through May 23rd, consider asking your payroll department about the timing of when earnings are "credited" vs when you actually work. Social Security counts earnings when they're paid to you, not when the work is performed. So if you work the last week of May but don't get paid until June, that income wouldn't count toward your pre-FRA limit. This could give you some flexibility in scheduling those extra hours your boss wants you to take on - you might be able to do more work in late May that gets paid after your FRA date. Also, don't forget that the limit is annual, so if you're conservative in January-March, you could potentially earn more in April-May as long as your total stays under $62,160. Just make sure to track it carefully!

One thing I'd add that hasn't been mentioned yet - make sure you understand how Social Security defines "earnings" for the earnings test. They count gross wages and net self-employment income, but there are some nuances that might affect your planning. For example, if you get a bonus or commission payment in 2025 for work you did in 2024, Social Security counts that toward your 2025 earnings limit even though the work was done in a previous year. Similarly, if you have any deferred compensation or salary that gets paid out, that typically counts too. On the flip side, things like employer contributions to your 401(k), health insurance premiums paid by your employer, and certain fringe benefits don't count toward the earnings limit. Since you mentioned your boss wants you to take on more hours and you're trying to plan carefully, it might be worth asking about the structure of any additional compensation - whether it's straight hourly wages, includes bonuses, has any deferred components, etc. This could help you be more precise in your calculations for those crucial January-May months. The SSA publication "How Work Affects Your Benefits" (Publication No. 05-10069) has all the detailed rules if you want to dive deeper into what counts and what doesn't.