Social Security earnings limits when retiring at 65 with spouse's cancer diagnosis - monthly vs. annual limits explained

For the remainder of 2025 after you start benefits, you'd be under the monthly earnings test. This is GOOD news for you! Since you'll be claiming benefits mid-year after already earning well over the annual limit, SSA will use the monthly test instead. You can earn up to $1,950/month for each month you're receiving benefits without penalty. In 2026, until you reach your FRA, the annual limit (around $62,580 for 2026) would apply. Once you reach your FRA, there's no earnings limit whatsoever. This special first-year monthly test is specifically designed for situations like yours where you retire mid-year. Make sure to inform SSA when you apply that you've retired or substantially reduced your work hours.

I went through something similar with my wife's illness 2 years ago. The monthly earnings test saved me from a big reduction in my first year of benefits. Just make sure when you apply that you clearly tell them you're RETIRING or reducing work hours significantly - that's what triggers them to use the monthly test instead of the annual one. If you're caring for someone with cancer, I'd also suggest looking into Claimyr (claimyr.com) to avoid those crazy long hold times when calling SSA. I used their service to get through to a representative quickly to ask specific questions about my situation. They have a video demo at https://youtu.be/Z-BRbJw3puU that shows how it works. When you're juggling caregiving responsibilities, the last thing you need is to spend hours on hold.

just want to say im sorry about ur husband. my mom had cancer too and its so hard. dont forget to take care of yourself too ok

Watch out for that earnings limit! They don't tell you that they take BACK $1 for every $2 you earn over the limit. My brother went through this and ended up OWING money to SS because they didn't explain it properly!!

I think your actually better off working as much as u want and waiting to file for SS till your FRA. My neighbor did that and hes glad he did. You'll get more money that way in the long run.

SSA has a special rule for the first year of retirement that a lot of people don't know about. It's called the "grace year" or "first year monthly test" and it sounds like exactly what you need. Here's how it works: 1) If you retire mid-year 2025, they'll use the MONTHLY limit only for the months after you claim benefits 2) For 2025, you would need to stay under about $1,950/month for each month after you claim 3) Previous earnings in 2025 (before you claimed) DON'T COUNT against you 4) For 2026, you'll be under the higher annual limit (around $62K) until you reach your FRA 5) Once you hit your FRA, you can earn unlimited amounts This special first-year rule is EXACTLY designed for situations like yours. Make sure to tell SSA when you apply that you've retired or substantially reduced your work. I went through this when my spouse got sick too.

@casual_commenter - Your brother should have been eligible for the monthly earnings test in his first year of retirement. He may not have clearly indicated to SSA that he had retired or substantially reduced his work. When this happens, they default to the annual test instead. He might want to contact SSA to see if his benefits can be recalculated using the monthly test for that first year. There's a limited time to appeal these decisions though.

I just want to add one important clarification about the 2026 portion of your question. You're correct that until you reach your FRA in early 2026, you'd be subject to the higher annual limit (approximately $62,580 for 2026). However, only earnings BEFORE the month you reach FRA count toward this limit. For example, if your FRA is in March 2026: - January and February earnings would count toward the ~$62,580 limit - Starting March (your FRA month) and beyond, NO earnings limits apply at all So you don't need to track monthly maximums in 2026 - just make sure your total earnings in the months before your FRA month stay under the higher annual limit. Once you hit your FRA month, earn as much as you want with no penalty. Wishing you and your husband strength during this difficult time.

I tried calling SS about this exact issue last month and spent TWO HOURS on hold only to be disconnected! The whole system is broken. Why can't they hire more people to answer the phones??!!

my aunt retired at 65 and she said the monthly thing worked great for her. but she had to be really careful about tracking her hours at her part time job. good luck with everything!