Some Information on Social Security Income Limits

Article Written By: RebbecaMyers

Social Security can sometimes have Social Security income limits regarding your benefits, depending on your current age. For individuals who have reached the full retirement age or are past it, there are no limits applicable to them regarding the amount of income that they can receive while they are receiving their social security benefits at the same time. But if you are not yet at the full retirement age, it is a different situation and certain limitations will apply to you regarding your earnings.

Earnings that are past the social security limits given to you by social security will result in a reduction of benefits automatically.

For people who have been born between the years of 1943 and 1955, the full retirement age to receive social security benefits without a limit is the age of 66. For people who have been born after 1960, however, the full retirement age to receive unlimited social security benefits is the age 67. If you are one of the individuals that is below this age, the social security income limits listed here will affect you.

Earning more that $14,160 this year will result in your benefits having a reduction applied to them. This means that for every two dollars that you earn over this limit, the social security administration will reduce your benefits by one dollar. If you have reached the listed full retirement age by this current year, then the social security administration will deduct one dollar for every three dollars past an income of $37,680. Obviously these reductions can count up to larger amounts in your benefits depending on the amount you earn.

It is important to note that benefit reductions are not permanent in any case. These reductions will stop by the time you have reached the full retirement age for your birth year, and your benefits will be increased to fill in for the gap that was created when you were prior to this full retirement age. Individuals that are spouses or survivors, receiving the benefits of social security from the care of minors or disabled children will not be allowed to receive these benefits, however.

People that are self employed will only have to count their net income for benefit and social security income limits. People who work for a company will only have to count specific wages. Your pensions, financial gains, capital gains, and any interests are not counted into the earning limits for the benefits you receive.

Anyone who is currently receiving benefits from social security from disability or having a supplemental security income needs to report this information to social security because it will factor into their earnings and how the reductions affect them. If you work outside of the United States currently or have previously, you must also contact social security because some of the rules listed here may not apply to you.

If you are interested in seeing a chart which lists examples of how benefits and earnings can be affected by reductions and increases, then the social security administration has a chart which is available to see via the internet or can be sent to you in the mail.

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You can get a bunch of info on social security income limits and other related topics. Check out the social security limits table for full clarification.

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