Will my state pension count toward Social Security earnings limit at age 62?

Good news! Your pension doesn't count toward the earnings limit. The earnings test ONLY counts wages from actual work or self-employment income. Pensions, investment income, interest, annuities, capital gains - none of these count toward the earnings limit. So your $1300/month pension won't affect your Social Security benefits at all under the earnings test. However, if you get a part-time job, those earnings WILL count against the limit. For 2025, if you're under Full Retirement Age (FRA) for the whole year, SSA will deduct $1 from benefits for each $2 you earn above the annual limit (which will likely be around $22,000-23,000 for 2025). Also, since you mentioned a state pension, be aware of the Windfall Elimination Provision (WEP) which might reduce your Social Security benefit if you earned a pension from work where you didn't pay Social Security taxes. That's a separate issue from the earnings test though.

Your pension doesnt count toward earnings limit but beware of WEP - it can slash your SS benefit. My friends ex-husband worked for county government and his SS was cut almost in half when he started collecting! Its a way the govt. can take away benefits youve earned imho.

I just went through this exact situation last year! The pension definitely doesn't count toward the earnings limit - only actual work counts. But I did learn about the WEP thing the hard way when my benefit was about $450 less than I expected. You should call SSA directly to ask about your specific situation with the pension and WEP. The problem is getting through to them on the phone is nearly impossible these days. I found this service called Claimyr that got me connected to a live agent in about 15 minutes instead of waiting hours or days. Their website is claimyr.com and they have a video showing how it works: https://youtu.be/Z-BRbJw3puU. Totally worth it when dealing with complex pension situations!

Let me provide some additional clarification: 1. Pension income (regardless of source) does NOT count toward the earnings test limit. Only wages or self-employment income counts. 2. Regarding WEP: This applies if you receive a pension from work where you did NOT pay Social Security taxes. You mentioned you paid into Social Security at a "reduced rate" - this sounds like you might be affected by WEP, but the impact varies based on your specific work history. 3. For 2025, the earnings limit for someone under FRA will likely be around $22,680 (based on typical annual increases). 4. If you work part-time after starting SS benefits, only those work earnings count toward the limit, not your pension. I recommend creating an account at my.ssa.gov where you can see your personalized benefit estimates which should already factor in any WEP reduction if applicable. Be aware that taking benefits at 62 means a permanent reduction of about 30% compared to waiting until your FRA.

EVERYONE HERE IS MISSING something important!!! If your pension is from a job where you DIDNT pay full social security taxes (like many state and local govt jobs), then you MIGHT be subject to both WEP *and* GPO. WEP reduces your own benefit and GPO can reduce any spousal or survivor benefits!!! My husbands pension from teaching for 25 yrs completely eliminated my spousal benefit I was counting on. Check both!!!!!

Just adding my two cents... I retired early at 62 last year and have a similar pension situation. I'm now kicking myself because I didn't fully understand how much the early claiming reduction plus WEP would affect my monthly payment. I'm getting almost $700 less per month than I was expecting based on the estimates I saw years ago. If I could do it over, I would have waited until at least 65. Just something to consider.

I'm confused about something... i thought the earnings limit was going up to like $56,000 or something in 2025? I read that somewhere I think. Can anyone confirm? Also does WEP apply if you worked for a private company pension?

The whole system is rigged against regular people trying to retire with dignity! I worked 40+ years and paid in every paycheck and now they want to cut benefits if you try to still work a little to make ends meet??? And these complicated rules about WEP and GPO that nobody understands until its too late. Its designed to confuse us! Im sorry but im so tired of this system that takes and takes but doesnt want to give you what youve earned!

To address the original question one more time with absolute clarity: 1. Pension income DOES NOT count toward the earnings limit. Only income from active work (wages or self-employment) counts. 2. If you work part-time after starting benefits, only those work earnings count. 3. The earnings limit is adjusted annually. For 2025, it will likely be around $22,680 if you're under Full Retirement Age the entire year. 4. At 62, your benefit is permanently reduced by about 30% compared to your Full Retirement Age benefit. 5. Given your pension situation, I strongly recommend contacting SSA directly about potential WEP impacts before making your final decision about when to claim benefits.