Returning to work but receiving social security
I have been asked to return part time to my previous job that I retired from almost 4 years ago. I did not take social security until this year upon reaching age 70. However, before then I was receiving my deceased husband’s social security which was far less than mine for the last few years. If I go back to work part time, will my social security benefit be reduced? Thank you.
Terry Says
No, if you took your own benefit at 70, it will not be reduced. But the added income may be subject to taxes.
You can start by reading this article: https://www.kiplinger.com/retirement/social-security/604321/taxes-on-social-security-benefits
Then you should discuss with your tax advisor whether you have enough withholding on taxes during the year to avoid a penalty.
In any case, please DO keep working — even if it generates a higher tax bill. You’ll come out ahead in the long run!
Oh, and remember — you can lower that tax bill, if it happens, by contributing up to $8,000 to a tax deductible traditional IRA, where the money can keep growing!
