Early Social Security benefits withdrawal may reduce spouse’s benefits
Collecting Social Security benefits before reaching the full retirement age can also lead to lessened payments collected by your spouse or dependents, InvestmentNews reported on May 9.
If you are under full retirement age for all of 2014 and you receive Social Security benefits while you continue to earn your daily wages, the Social Security Administration will subtract $1 from your benefit payments for every $2 you earn above $15,480. If you do earn more than the greater earnings limit, your spouse’s benefits may also be restricted–a little known policy.
Once you reach the year of your full retirement age, the penalties for early withdrawal decrease. The deduction then is $1 for every $3 you earn above a higher limit imposed by the SSA – $41,400 in 2014 – counting the earnings before the month you reach full retirement age. Once you reach the month of your full retirement age, Social Security benefits can be acquired without limits on your earnings.
Another Social Security benefit plan is the Social Security Disability Insurance program–a way for employees who are suddenly unable to work due to a recent injury or illness to secure an income. If you need to apply for such benefits in San Antonio, acquire the legal assistance of our attorneys at the Chris Mayo Law Firm by dialing (210) 999-9999 today.