SS penalty
If I claim early social security benefits and am still working, will I get hit with a penalty if I have my employer put all of my earnings into a 401k plan?
Terry Says
First of all, you can’t have your employer put ALL of your earnings into a 40lk plan. There are rules about percentages.
Second — and most important — if you’re still working WHY ON EARTH would you take EARLY SS benefits?? That permanently reduces your income in your later, most important years. And reduces your spouse’s benefit if you die first, and yours is still larger than hers.
Just keep working, keep contributing to your plan — and wait until at least your FULL retirement age!!
