Can you Collect Social Security if You’re Still Working?
Interested in collecting Social Security but not quite ready to retire? While possible, this may result in some of your benefits being temporarily withheld, depending on your age. If you decide to apply for benefits before you reach full retirement age and continue to work, your benefits will be reduced by $1 for every $2 if you earn above the annual income limit. For 2018, according to the Social Security Administration (SSA), that limit is $17,040. In the year you reach full retirement age, $1 in benefits will be deducted for every $3 you earn above $45,360. (The SSA only counts earnings before the month you reach your full retirement age.)
Only the wages you earn from your job, including bonuses, commission and vacation pay count toward your annual income limit. Pensions, annuities, investment income, interest, veterans or other government or military retirement benefits do not count.
Beginning with the month you reach full retirement age, your earnings no longer reduce your benefits, no matter how much you earn.
Afraid this money is lost forever? Don’t worry! Once you reach full retirement age, your benefits will be recalculated, and you will receive your full payment. Your payment will include credit for those months in which benefits were withheld.
Need more information on Social Security? Head to the Medicare Learning Center and check out A Beginner’s Guide to Social Security.