Earnings & Taxation of Social Security Benefits

If you are under full retirement age when you start drawing Social Security benefits, your benefit will be reduced by $1 for each $2 you earn above the annual limit. In the year you reach full retirement age, your benefits will be reduced $1 for each $3 you earn above the annual limit. To find this year’s limits, please see the list provided on our website under Resources titled “Annual Updated Tax Numbers” for this and other limits, thresholds, and rates that change annually. Starting with the month you reach full retirement age, there is no reduction in benefits based on earnings.

Depending on your filing status and income levels up to 85% of your benefits may be taxable. For additional information, to apply for and/or calculate your benefits, etc., visit the Social Security Administration's website at www.ssa.gov.