Page 5 - Senior Times South Central Michigan - March 2017 - 24-03
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Senior Times - March 2017
Page 5
By: Russell Gloor, AMAC Certified Social Security Advisor
your full retirement age they will give you time credit for those months as though you didn’t begin collecting at age 62, but rather an age later than that - 62 plus the number of months they withheld your benefits due to over-earning.
Bottom line:
If you need the money and want to start collecting at 62 but also want to continue working, you can do that. Just be aware that when you exceed those earnings limits, they will withhold your benefits the following year(s) until they get back what’s due them. But, when you reach your full retirement age, your benefit amount will be increased so that that you may eventually get back
the money they withheld. And, that benefit increase at full retirement age will last for the rest of your life.
The information presented in this
article is intended for general information purposes only. The opinions and interpretations expressed in this
article are the viewpoints of the AMAC Foundation’s Social Security Advisory staff, trained and accredited under
the National Social Security Advisors program of the National Social Security Association, LLC (NSSA). NSSA, the AMAC Foundation, and the Foundation’s Social Security Advisors are not affiliated with or endorsed by the United States Government, the Social Security Administration, or any other state government. Furthermore, the AMAC Foundation and its staff do not provide legal or accounting services. The Foundation welcomes questions from readers regarding Social Security
issues. To submit a request, contact the Foundation at
Question: I’m 62 and still working but would like to get Social Security because we could sure use the extra money. I’ve heard that if I keep working that my Social Security benefit will be less, so now I don’t know if I should go ahead with my Social Security or just wait. I sure don’t want to lose money on my Social Security for the rest of my life.
Answer: Social Security rules for when you continue to work after your benefits start can be confusing. Social Security calls this the “Annual Earnings Test.”
The basic rule is that you can continue to work after you start collecting Social Security but, depending on how much you earn, they will reduce your benefit payments if you haven’t yet reached your “full retirement age.”
But here’s a key point: You don’t actually lose the amount they will take away, because when you reach your full retirement age (in your case, 66) your Social Security benefit will be increased to account for what they withheld.
Here’s how it works:
• If you’re working and collecting Social Security while you’re age 62 through 65, your benefit will be reduced by
$1 for every $2 you earn over $16,920. In other words, they’ll take back half of anything you earn over $16,920.
• In the year that you become age 66, you can earn up to $44,880, after which they will reduce your benefit by $1 for every $3 you earn over $44,880 (one third).
• Once you reach your full retirement age of 66, you can earn as much
as you want and there will be no benefit reduction.
Note that these earnings limits are for 2017; they change annually.
The way that Social Security gets back what you owe them is by withholding your benefit payments the following year, for
as many months as needed for them to recover what you owe from over-earning the previous year. That means that you won’t receive any Social Security payments for one or more months the following year until they recover what’s due.
Losing those payments can hurt, but don’t fret too much because when you finally reach your full retirement age
your benefit amount will be recalculated eliminating those months when your benefit was withheld because you exceeded the earnings limit. You don’t actually get back the dollars that were withheld due to your over-earning, but rather a formula is used
to recalculate your benefit when you reach your full retirement age.
Here’s how that works:
If you start collecting benefits at age
62, your benefit will be reduced to about 75% of what it would be if you waited until your full retirement age of 66. But because you didn’t actually collect benefits in some months you were paying back what you owed due to over-earning, when you reach
Nashville Delton
Union City
Battle Creek Albion Marshall Battle Creek Homer
Michigan Center Jackson Jackson
Main St. Banqets
Faith United Methodist
Jenny Burlison Elayne Nottingham
(269) 852-9182 M-F (269) 623-5400 M,W,T
10:30am-1pm 10:30am-1pm
COA Building
Mary Cook
(269) 948-4856
Eagles Club
Joyce Dennie
(269) 367-4041
Meals provided by Barry County Commission on Aging. A program sponsored by Barry County United Way.
Union City Fire Station Rusty Hampton (517) 741-7212 M,T,TH,F 10:30am-12pm
Lunch served at 12pm
Branch County CAA Office
Tamara Wittbrodt
(517) 278-8249
Lunch Served at 12pm
Meals provided by Community Action Food and Nutritional Services. Funding sources AAA 3C, Branch County United Way, USDA and private donations.
Albion Senior Dining Center
Cynthia Rose
(866) 200-8877 ext 350
Lunch served at 12pm
Bedford Manor Dining Center Clarence Dining Center Marshall House Dining Center Westbrook Place Dining Center Homer Presbyterian Church
Burdell Wells
Sharon Rice
Bablynn Squires Michelle Dove
Senior Health Partners
(866) 200-8877 ext 350 (866) 200-8877 ext 350 (866) 200-8877 ext 350 (866) 200-8877 ext 350 (866) 200-8877 ext 350
M,W,F 10:30am-1pm M,T,W 10:30am-1pm M,W,F 10:30am-1pm M,W,F 10:30am-1pm T 10:30am
Lunch served at 11:30am Lunch served at 11:45am Lunch served at 12pm Lunch served at 11:30am Whole Person Wellness too
Lunch served at 12pm
Lunch served at 12pm
Lunch served at 12pm
Battle Creek
Cherryhill Manor Senior Center
Constance Siegel
(866) 200-8877 ext 350
Lunch served at 11:30am
Battle Creek
Lakeview 900 Dining Center
Karl Hoard
(866) 200-8877 ext 350
Lunch served at 11:30am
Battle Creek
Springview Towers Dining Center
Caroline Oberlin
(866) 200-8877 ext 350
Lunch served at 11:30am
Battle Creek
Northside Senior Dining Center
Deboraha Sallee
(866) 200-8877 ext 350
Lunch served at 11:30am
Tekonsha Community Hall
Senior Health Partners
(866) 200-8877 ext 350
Whole Person Wellness too
Meals provided by Senior Services. Funding by Calhoun County Senior Services, AAA 3B, USDA and private donations.
Crouch Senior Center
Michelle Rose
(517) 788-4364
Lunch served at 12pm
St. Aidan’s Episcopal Church
Park Forest
Word of Light
Nikki Soli
Lynn Walker
Nancy Behling
(517) 764-2950
(517) 787-9750
(517) 782-7755
M,W,F 10am-2pm
M,T,W,Th,F 10am-1pm
M,T,W,Th,F 10am-1:30pm
Norvell/Township Hall
Gail Jamieson
(517) 536-4370
Lunch served at 12pm
Spring Arbor
Spring Arbor Senior Center
Bev Greene
(517) 750-1010
Lunch served at 12pm
To have your senior dining center added, Call Sherii at (269) 979-1412 ext. 302 or Email:

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