I turned 62 in August and applied for SS and am still working and will probably do so for a while yet because of a child who is still in college. I had several questions regarding the earnings limit and when i would receive my first check. I received one answer from the local office and a completely different answer from SSA directly. I am hoping someone here can shed so light on the correct answer.
When applying for benefits, i estimated a yearly income that would put my earnings at $8900 over the limit. Now i do understand that with the way the earnings limit overage is calculated that they would withold $4,450 from my benefits and was told that i would not receive any payments for 2012 and would most likely not receive a check until March of 2013? Is this close to being correct?
Second question...............should i elect to continue working in all of 2013 and make the same amount of salary, when is the earnings limit overage witheld, in the first 5 months or so of 2013 or the first five months of 2014? Does SS use a salary estimation for 2013 and withold the estimated overage at the beginning of 2013 or wait until my actual wages for the year are reported in January 2014?
Thanks in advance for your time.
Wages over the retirement earnings limit
The following links will be useful for this. The first link has some examples that will give you a better idea of how benefits can be withheld.
Note special rules apply in the first year. Sometimes people who retire in mid-year already have earned more than the yearly earnings limit. That is why there is a special rule that applies to earnings for one year, usually the first year of retirement. Under this rule, you can get a full Social Security check for any whole month you are retired, regardless of your yearly earnings.
http://www.ssa.gov/pubs/10069.html#a0=0
http://ssa-custhelp.ssa.gov/app/answers/detail/a_id/236
http://www.ssa.gov/OACT/COLA/RTeffect.html
Wages over limit
I've read your reply and appreciate it. However, i still do not understand why one office tells me i will receive a check in March 2013 and another office says July 2013. Why March and why July. I don't qute fully understand where these two dates come into the picture from.
Thank you