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Social Security Earnings Test Exemption Calculator

Calculate benefit withholding if working before FRA.

Earnings Test Status

Current Age:63
FRA:67.0
Test Applies:Yes
Earnings test applies before FRA. After FRA, no earnings limit.

2024 Earnings Limits

Under FRA:$ 22280
FRA Year:$ 59460
Monthly (Grace Year):$ 1860
Applicable:22280
Under FRA: $1 withheld for every $2 over. FRA year: $1 for every $3.

Withholding Calculation

Earnings:$ 25000
Excess:$ 2720
Rate:$1/$2
Withheld:$ 1360
Months:2
Benefit:$ 1200/mo
SSA withholds full monthly benefits until excess earnings recovered.

Annual Benefit Impact

Annual Benefit:$ 14400
Withheld:$ 1360
Net:$ 13040
Benefits withheld but not permanently lost - adjusted at FRA.

FRA Adjustment Credit

Months Withheld:2
Credit at FRA:2 months
At FRA, SSA recalculates benefit to credit withheld months. Not permanently lost!

Earnings Test Key Points

  • Test applies before FRA only
  • 2024 limit: $22,280 under FRA
  • 2024 limit: $59,460 in FRA year
  • $1 withheld for $2 over limit
  • Grace year: monthly test available
  • Monthly limit: $1,860 in grace year
  • Benefits not permanently lost
  • Credit added at FRA
  • Report earnings to SSA
  • Self-employment: different rules
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