Social Security is unremarkably seen equally a source of retirement income. Just you're allowed to piece of work and take Social Security retirement benefits or survivor benefits at the aforementioned time. If you do and so earlier you lot attain total retirement age, though, Social Security may withhold part of your benefits.

Below we'll comprehend how y'all tin go Social Security benefits even while you're notwithstanding working. Acquire how you lot can keep as much of that money as possible.

A Social Security card slid into a spread-out pile of money.

Epitome source: Getty Images.

How much tin you earn and still receive Social Security?

When y'all take benefits while you're still working, Social Security may withhold part of your benefit depending on your income if you haven't reached full retirement age. Your full retirement age is between 66 and 67 if you were built-in from 1943 to 1959; it's 67 if you were born in 1960 or later on.

Social Security will withhold benefits at the following rates in 2022:

  • $1 for every $ii of earned income above $eighteen,960 until the year you achieve full retirement age. Let'southward say you're 64 and earn $20,000 from working, and you lot're already getting benefits. You've earned $i,040 to a higher place the earnings limit, so Social Security would withhold $520 from your benefit.
  • $ane for every $iii of earned income to a higher place $50,520 the year you lot reach full retirement age until the month before y'all're eligible for your full benefit. Suppose you reach full retirement historic period in October. Social Security would merely reduce your benefits if y'all earned more than than $l,520 between January and September.

These rules apply whether yous're an older worker taking benefits based on your own piece of work tape or you're getting a spousal benefit or a survivor benefit.

The key to understanding Social Security'southward rules about working and benefits is that everything changes when yous attain the date when y'all tin fully retire. Later that point, y'all can earn as much as yous desire and still proceed all your benefits. Earlier, though, you lot can give up some of your benefits.

Can y'all get your full benefit if y'all're nonetheless working?

If you've reached full retirement age and y'all're still working, you lot don't need to worry about whatever earnings limits. Social Security will not withhold money from your monthly benefit. Social Security too won't take coin out of your checks if yous claim early but your income is below the thresholds listed in a higher place.

What happens to the money Social Security withholds?

The Social Security Administration calculates the appropriate corporeality that you lot'll forfeit so takes information technology out of your monthly benefits. You'll see unabridged monthly checks held back past the government to cover the withholding. For case, if y'all usually get Social Security of $i,000 per month but you lot take to forfeit $4,000, and then Social Security will agree back four months' worth of checks.

Equally painful as it is to lose your benefits, at that place is some payback. If you lose a month'southward worth of benefits, then Social Security treats you as if you retired a month later than y'all did. One time yous striking full retirement age, you'll commencement getting larger monthly checks based on that afterwards retirement date. You might not get all your lost coin back, but the bigger checks will gradually send some of information technology your manner.

Are your Social Security benefits taxed if you're all the same working?

If you have earnings from working or you have other taxable income, such as distributions from a retirement plan, office of your Social Security may be taxed.

Whether you're even so employed or y'all're a retiree, you'll pay taxes on upward to 85% of your Social Security benefit if:

  • You're single with a taxable income of $34,000 or higher.
  • You lot're married filing jointly with a combined taxable income of $44,000 or higher.

You'll pay taxes on upwardly to l% of your Social Security benefit if:

  • You're single with a taxable income between $25,000 and $34,000.
  • You're married filing jointly with a combined income between $32,000 and $44,000.

If your income is below these limits, yous won't owe taxes on your Social Security.

What if I stop working in the middle of the year?

There's a special rule for when you work office of the year but and then retire. Regardless of your total earnings, you're still entitled to become Social Security checks for any calendar month in which you've officially retired.

As an example, say you retire early at 63 and decide that you're going to quit your $200,000-per-yr job at the end of June. You'd forfeit all of your benefits for the first six months of the year because of your loftier earnings, but, starting in July, you could still go checks for the remaining six months even though your total almanac earnings were well above the annual limit.

Volition I lose my Social Security Disability or SSI benefits if I work?

Rules for inability benefits are completely unlike from retirement benefits. In order to collect disability, the Social Security Administration requires that you lot no longer be able to appoint in what's known every bit substantial gainful activity. For 2022, that ways earning no more $i,310 per calendar month unless yous're blind, in which case a $ii,190 monthly limit applies.

Unlike the retirement benefit rules, there'due south no phaseout for losing disability benefits. Earn a single $1 in a higher place the limit, though, and you lot lose every penny of what you become from Social Security Disability. If y'all make less than the amounts above, so you continue total benefits, merely, if yous make more than, and so you lose all of your disability benefits.

However, Social Security allows disabled workers a nine-month trial catamenia to test their ability to work. During this period, you're immune to collect your full benefit no affair how much you earn, as long as you lot report the income and still have a disability.

If you receive Supplemental Security Income (SSI), your benefits are reduced by $0.50 for every dollar you earn above $85 in 2022.

Should I piece of work and have Social Security?

If you want to maximize your monthly Social Security checks, the simplest retirement strategy is to look until total retirement historic period before challenge your benefits. That way, y'all'll be able to earn an unlimited amount without losing a penny of your Social Security.

If waiting that long isn't an option, at that place are all the same some things you can practise. For many, claiming at the beginning of the twelvemonth in which you lot'll accomplish total retirement age works out fine considering the higher earnings limits make it less likely that you'll give upwards your Social Security.

Finally, if yous're expecting to work on a role-time basis, it'due south smart to look at the earnings limits and how they compare with your pay. If it looks like yous might trigger the provisions, then yous might determine to work a piffling less to go on all your benefits.