Social Security question

[vcueva01]

Great website, I've been learning a lot reading your posts.
I am from NJ, married with 2 adult kids, planing to retire at 62 this coming October. As someone said each situation is unique, I decided to do it.
Now, up to September my income would be 70,000 ans then in October my monthly income will be 1,400 a month. Understand that the limit income is $ +/- 16,900 a year.
Besides federal income taxes, does SS penalize for my income the first year (3 months of SS) and does my wife income will affect my benefit?
Thanks.

 

[Meadbh]

Welcome to the forum. I think your financial question is not getting responses because you have posted it in the Health forum. Perhaps a moderator could move this post to the appropriate forum.

 

[RunningBum]

And even more importantly, put in an actual descriptive title for the thread.

 

[Walt34]

Moved to Fire & Money.

 

[2017ish]

...
Now, up to September my income would be 70,000 ans then in October my monthly income will be 1,400 a month. where is this income coming from? Social or elsewhere? Understand that the limit income is $ +/- 16,900 a year. what is limit income, and what does it apply to?

Besides federal income taxes, does SS penalize for my income the first year (3 months of SS) If you take social at 62, whether for partial year or whole year, you get less money. Some would consider that a penalty, others would disagree and does my wife income will affect my benefit? Wife's income could make your benefit taxable.
Or, if she earns more than double your lifetime income for social calculation/PIA, you would be able to draw half her amount if done properly
Thanks.

Hope this answers your questions. I was a bit unclear as what you were seeking... Otherwise, others are more knowledgeable on this and will chime in shortly!

 

[kaneohe]

This is only worth what you are paying for it:
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You are probably interested in the 1st year rule:
Note: If your earnings will be over the limit for the year but you will be retired for part of the year, we have a special rule that applies to earnings for one year. The special rule lets us pay a full Social Security check for any whole month we consider you retired, regardless of your yearly earnings.
https://www.ssa.gov/planners/retire/whileworking.html
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The question is when do they consider you retired......they don't say specifically
here but I seem to recall that if your monthly earnings after you retire are less than the 16920 allowed annually (so 1410 monthly),you will get a full SS check. I'm assuming that income is earned income. Sounds like you made
a strategic choice since you are only $10 shy of the limit.

 

[Independent]

and does my wife income will affect my benefit?
Thanks.

If you are receiving benefits based on your earnings record, then your wife's income does not affect your benefit.

 

[Ed B]

I don't know if this is part of your question but it might be:

Pension revenue and distributions from your IRA/401K which fund your retirement does not count towards the $16,900 per year you are allowed in earned income while receiving your SoSec payments.