How much can i make while collecting ss

[Robertga]

I am 63 years old and I'm collecting social security. My wife is under 60 and not collecting.

For 2023, how much can my personal earnings from wages and s-corp dividends be before my ss benefit is reduced?

[DoninGA]

Up to 85% of Social Security Retirement/Disability/Survivors benefits becomes taxable when all your other income plus 1/2 your social security reaches:

• Married Filing Jointly - $32,000
• Single or Head of Household - $25,000
• Married Filing Separately - 0

[DoninGA]

Go to this SS website for information on a reduction of benefit if you are not a full retirement age - https://www.ssa.gov/benefits/retirement/planner/whileworking.html#:~:text=If%20you%20are%20younger%2....

If you are younger than full retirement age and earn more than the yearly earnings limit, we may reduce your benefit amount.

If you are under full retirement age for the entire year, we deduct $1 from your benefit payments for every $2 you earn above the annual limit. For 2022, that limit is $19,560.

In the year you reach full retirement age, we deduct $1 in benefits for every $3 you earn above a different limit. In 2022, this limit on your earnings is $51,960. We only count your earnings up to the month before you reach your full retirement age, not your earnings for the entire year.

[NCperson]

@Robertga since you are not at full retirement age (FRA), your social security will be reduced if you earn more than $19,560 in 2022 at a rate of $3 reduction for each dollar above this amount.  In 2023, the limit is $21,240.

https://www.ssa.gov/benefits/retirement/planner/whileworking.html#:~:text=If%20you%20will%20reach%20....

https://www.ssa.gov/oact/cola/rtea.html#:~:text=For%20people%20attaining%20NRA%20in,the%20month%20of....

looks like Social Security may have changed "FRA" - full retirement age to "NRA" normal retirement age. 

[Robertga]

Thank you all for your answers. Household income is what's gonna hurt me most because my wife might make more than that just by herself. Looks like I'm going to get taxed if I make more than the maximum amount plus the benefits gonna get reduced. What does everyone else do?

[Critter-3]

They suck it  up and pay the taxes.  

And the excess earnings that reduces the benefits is an individual situation and the dividends doesn't come into play.    However the amount of SS benenfits that are taxable on the return takes all income from all sources into consideration and  no, filing separately will not save you. 

[NCperson]

@Robertga - I gotta be honest, those that are still working probably don't take SS at 62 years old (or they continue to work but make less than the limit) as their behavior is driven by the rules.  

I have a Merrill Lynch White paper from 2012 that states 50% of individuals take SS at age 62, and most everyone else take it at the Full / Normal Retirement age (65-67 based on the your year of birth).  Very few wait until age 70 to begin SS.   The data is taken from the SSA. 

[Robertga]

I decided to collect social security early due to possibility of me not living till I make it to full benefits.

[fanfare]

this is the typical argument but it puts your spouse at a disadvantage if they outlive you.