Can You Still Work While Collecting Social Security?

YES, you can work while collecting Social Security benefits, but it may affect how much you receive—depending on your age and how much you earn. Let’s break it down.

1. If You Haven’t Reached Full Retirement Age (FRA) Yet

Your Full Retirement Age (FRA) depends on when you were born (typically between 66 and 67 for most people today). If you claim before reaching FRA and continue working, your benefits could be temporarily reduced.

• In 2024, if you're under FRA and earn more than $22,320 per year, Social Security will withhold $1 for every $2 you earn above that limit.

• In the year you reach FRA, the limit increases to $59,520, and Social Security will only withhold $1 for every $3 earned above that threshold.

• Once you hit FRA, the earnings limit disappears, and your benefits are recalculated to give you back the withheld amount.

2. If You’ve Reached Full Retirement Age

After reaching your FRA, you can earn as much as you want without your benefits being reduced. In fact, Social Security will adjust your benefits upward to account for any money that was previously withheld due to earning limits.

3. Will My Social Security Be Taxed?

Yes, depending on your total income, part of your Social Security benefits may be taxed:

• If your individual income is over $25,000 or joint income is over $32,000, up to 50% of your benefits could be taxed.

• If your individual income is over $34,000 or joint income is over $44,000, up to 85% of your benefits could be taxed.

4. What’s the Best Strategy?

The best approach depends on your age, income level, and long-term financial goals.  Schedule an appointment with me so that we can explore this together!  There are various options that can be suitable for helping you reach your retirement goals.  There is no one answer for this - you’ll want to consider all aspects of your retirement plan before committing to any one strategy.  Let’s talk about a strategy that works best for you!