Social Security earnings limit confusion - working after FRA but starting benefits in January 2025
I've been looking forward to retirement and finally reaching my full retirement age in December 2024. I'm planning to start my Social Security benefits in January 2025, but I want to continue working through March 2025 to help train my replacement at work. I'm confused about the earnings limit rules - since I'll be past my FRA when benefits start, am I correct that there's NO earnings limit for the money I'll make January-March 2025? I read something about a monthly earnings test, but that seems to apply only if you're UNDER full retirement age. My HR department told me I might get penalized for earning too much in those first few months, but that doesn't sound right to me. Can anyone confirm?
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Naila Gordon
You're absolutely correct. Once you've reached your Full Retirement Age (FRA), there is NO earnings limit regardless of how much you earn. Since you'll reach FRA in November 2024 and are starting benefits in January 2025, you can earn any amount in 2025 without any reduction to your Social Security benefits. The earnings limit only applies to people who are collecting benefits before reaching their FRA. Your HR department is incorrect on this issue - they may be confusing your situation with someone who starts benefits early.
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Ben Cooper
•Thank you so much for confirming! I thought that was the case but my HR person seemed so confident that I started doubting myself. Such a relief to know I can finish out those final months without worrying about benefit reductions.
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Cynthia Love
watch out tho! my brother in law thought same thing but SSA took away some of his money for earning to much. might be different for u but just be careful!!!
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Darren Brooks
•That doesn't sound right. If someone is past their full retirement age, there is definitely NO earnings limit. Your brother-in-law might have been under his full retirement age, or maybe there was some other issue with his benefits. The rules are very clear on this point - after FRA, you can earn unlimited amounts without penalty.
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Cynthia Love
•maybe ur right, he always confused about stuff. he mightve filed early at 62 and didnt tell me
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Rosie Harper
I had the EXACT same situation last year! Reached FRA in October 2024 but worked until Feb 2025. The SSA didn't reduce a PENNY of my benefits. Your HR person is wrong - once you hit FRA, you're free and clear of the earnings test. No limits whatsoever.
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Elliott luviBorBatman
I want to provide some clarity on this issue since there seems to be some confusion. The earnings test works as follows: 1. If you're collecting benefits BEFORE your Full Retirement Age (FRA), there is an annual limit ($22,320 in 2025 for those reaching FRA after 2025). 2. In the year you reach FRA, there's a higher limit that applies only to earnings before the month you reach FRA ($59,520 in 2025). After the month you reach FRA, no limit applies. 3. Once you've reached FRA, there is absolutely NO earnings limit, ever. You can earn millions and still collect 100% of your Social Security benefit. Since you reached FRA in November 2024 and are starting benefits in January 2025, you're completely free from any earnings test. Your HR department is incorrect. This is directly from SSA's rules and I deal with these situations regularly.
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Demi Hall
•This is spot on. I worked for the SSA for 18 years, and I can confirm this information is 100% accurate. The earnings limit disappears completely once you reach your Full Retirement Age. Your HR department is mixing up the rules.
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Mateusius Townsend
This is why i HATE dealing with social security!! nobody knows the right answer!! even the "experts" give different answers depending who u talk to! i spent 3 WEEKS trying to get someone on the phone when i had a similar question last year!
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Darren Brooks
•I had the same problem trying to reach someone at SSA - spent hours on hold only to get disconnected. I finally used a service called Claimyr (claimyr.com) that got me through to a real person at SSA in under 5 minutes. They have a video showing how it works: https://youtu.be/Z-BRbJw3puU. Saved me a ton of frustration especially when dealing with complex questions like earnings limits.
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Ben Cooper
So after talking with SSA directly (finally got through!), I can confirm what most of you have said - there is absolutely NO earnings limit after reaching FRA. The rep told me I can earn any amount in 2025 without affecting my benefits. She said my HR department was likely confusing my situation with the rules for people who claim before their FRA. Thanks everyone for your help! Such a relief to have this sorted out before I start my benefits.
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Elliott luviBorBatman
•Glad you got official confirmation! It's always good to hear directly from SSA, even though the rule is very clear on this point. Enjoy your retirement and those last few months of work without any concerns about benefit reductions.
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Rosie Harper
sooo im turning 62 next month and want to start SS while still working part time. thats different from your situation right? i think i DO have an earnings limit??
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Naila Gordon
•Yes, your situation is completely different. At 62, you're filing for early benefits (before FRA), so the earnings limit absolutely applies to you. For 2025, you can only earn $22,320 without penalty if you're collecting early benefits. Anything over that amount, and SSA will withhold $1 in benefits for every $2 you earn above the limit. You might want to calculate whether it makes financial sense to claim early while still working.
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