Claiming your Social Security retirement benefit in the United States is a fundamental right for all workers who have been employed for 10 years. Therefore, you can enjoy a well-deserved rest after working all the time. No matter whether you want to claim your Social Security at age 62 or 67, the rest is always deserved in these cases. But there are times when the benefit does not provide a sufficient amount of money and we have to continue working.
This is especially true for people who apply for Early Retirement Age (ERA) at age 62. When applying for this type of benefit, the amount of the payment is reduced by 30% in most cases. For that reason, some people are required to work. In order to pay all the monthly bills, Social Security may not be enough in some cases. And yes, it is possible to work while collecting retirement benefits, but with certain limitations.
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Maximum hours of work while collecting Social Security
If you want to work while collecting Social Security, you should be aware that there are limits. The limit in this case is not on the number of hours. The limit is set by the salary earned as a worker. If you exceed the imposed limit, you will have to pay 1 dollar for every 2 dollars exceeded. This payment is made through a deduction from the Social Security benefit.
The limit we are talking about is $19,560 per year. If you earn more than this amount while working, you will have a discount in your Social Security. Therefore, you can work full-time and collect a retirement benefit at the same time if you earn less than $19,560 a year. Most companies in the United States exceed that average annual salary, but not all.
Can I apply for FRA and continue working?
Another Social Security option is to apply for Full Retirement Age (FRA). With this option, you will receive 100% of the money you have contributed as a worker. In this case, you can also work and collect Social Security at the same time, although the advantages are greater. However, there are other options for not needing to work while you are collecting Social Security.
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In this sense, you can look for a state where you don’t pay taxes. You can also look for the best cities to live in with Social Security. In addition, another way is to try to find additional income without working. Retirement is designed for relaxation, so any action that allows us to do so should be appreciated.