Working after retirement - will SS taxes from part-time job increase my benefits after divorce?

Good news! The Social Security taxes you're paying now could actually increase your benefit amount. SSA recalculates your benefit each year to see if your recent earnings increase your monthly payment. Since you started collecting at 62, your benefit amount was reduced, so new earnings could replace lower-earning years in your calculation. It's called the 'Automatic Earnings Recomputation' and happens every year after you've worked. As for spousal benefits after divorce - yes, you can potentially collect these even while working part-time, as long as your marriage lasted at least 10 years (which yours did at 22 years). You can collect up to 50% of your ex's FRA benefit amount if that's higher than your own benefit.

your still paying in bc thats the law, doesnt matter if your collecting or not. my dad worked till 75 and complained about the same thing

To answer your follow-up questions: Yes, the recalculation happens automatically - SSA does this every year after your employer reports your earnings. You should see any increase in your benefit the year after you've worked. For divorced spousal benefits, you do need to apply specifically for those - it's not automatic. Since you're already receiving your own retirement benefit, you'd only get the difference if the spousal benefit is higher. Call SSA and specifically ask about filing for divorced spouse's benefits. Given your ex made substantially more, it's definitely worth checking if you'd get an increase.

SSA takes FOREVER to answer phones tho!! I tried calling about my divorced spouse benefits and gave up after being on hold for 2 hours TWO DIFFERENT TIMES. And their website is absolutely no help for complicated situations. So frustrating!

Just to add some technical details to this discussion: The benefit recalculation you're asking about is officially called an Automatic Earnings Recomputation (AER). SSA will review your earnings each year and if your current work increases your Primary Insurance Amount (PIA), your benefit will be adjusted accordingly. Regarding divorced spouse benefits: You can receive up to 50% of your ex-spouse's full retirement age benefit if that amount is higher than your own benefit. Since you're already receiving your own retirement benefits, you'll only get the difference between your current benefit and the higher divorced spouse amount. Important: Since you're past your Full Retirement Age (which would be 66 for someone who's 68 now), there's no earnings limit that would reduce your benefits. You can earn any amount without having your SS benefits reduced.

My situation was EXACTLY like yours except I divorced at 65!! So frustrating that we have to figure this all out ourselves! I've been paying SS taxes on my part-time job for THREE YEARS and just found out last month that it actually increased my benefit by $47/month. Not life-changing but better than nothing! They did it all automatically but NEVER TOLD ME why my payment increased!!! I had to call and ask them what happened!!! The divorced spouse benefit was also confusing - took me two appointments to get it figured out.

btw you said you started collecting at 62 - so ur already getting a reduced benefit forever right? like 30% less? my brother did that and regrets it

To clarify something important from the comments - after you reach Full Retirement Age (which you have at 68), there is NO earnings limit whatsoever. You can work and earn as much as you want without any reduction to your Social Security benefits. This is different from when someone collects early (before FRA) when there are strict earnings limits. Your neighbor may have been referring to the rules that apply before reaching FRA.

Regarding your specific situation, I'd recommend taking these three steps: 1. Request your Social Security Statement online through your my Social Security account or by calling SSA - this will show if your recent work has already increased your benefit 2. File an application for divorced spouse's benefits immediately - since your marriage was over 10 years and you're already receiving retirement benefits, there's no downside to applying 3. Keep documentation of your current earnings to verify that future benefit adjustments are correct While the automatic recalculation happens annually after tax information is processed, it's still good practice to monitor your benefit amount for changes. These recalculations typically happen in October of the year following your work.