When I retire I will be receiving two pensions.How will this affect my social security?
Posted on Sep 20, 2009 under Retire |I plan to retire with a state pension at age 56.I will also collect a union pension at age 60.How will this affect social security at age 62 or 65?
pension income is passive income
income you get from a job is earned income
after your EARNED INCOME exceeds, last time I checked it was 14K, your social security is reduced $1 for every $2 you earn
No effect on ss at either age as long as we are not talking earned income
June 19th, 2008 at 2:47 pm
idk but leave some for me…lol,
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June 19th, 2008 at 2:49 pm
You need to research windfall provisions at ssa.gov
I know that if you were a school teacher who was NOT paying fica/mc, this retirement would lower your SSA benefits.
http://www.ssa.gov/pubs/10045.html
When your benefits may be affected
The Windfall Elimination Provision primarily affects you if you earned a pension in any job where you did not pay Social Security taxes and you also worked in other jobs long enough to qualify for a retirement or disability benefit.
For example, this provision affects Social Security benefits when any part of a person’s federal service after 1956 is covered under the Civil Service Retirement System (CSRS). However, federal service where Social Security taxes are withheld (Federal Employees’ Retirement System or CSRS Offset) will not reduce your Social Security benefit amounts.
The Windfall Elimination Provision may apply if:
You reached 62 after 1985; or
You became disabled after 1985; and
You first became eligible for a monthly pension based on work where you did not pay Social Security taxes after 1985, even if you are still working.
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June 19th, 2008 at 2:52 pm
This is what I found out-How much will my Social Security benefits be reduced?
Your Social Security benefits will be reduced by two-thirds of your government pension. In other words, if you get a monthly civil service pension of $600, two-thirds of that, or $400, must be deducted from your Social Security benefits. For example, if you are eligible for a $500 spouse’s, widow’s or widower’s benefit from Social Security, you will receive $100 per month from Social Security ($500 – $400 = $100).
If you take your government pension annuity in a lump sum, Social Security still will calculate the reduction as if you chose to get monthly benefit payments from your government work.
Also check out the social security site and they have an 800# you can call and talk to them directly
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June 19th, 2008 at 2:53 pm
it does not effect your social security
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June 19th, 2008 at 3:00 pm
Retiring early will most likely affect the amount of ss you are eligible for, since you won’t have those extra years of work and paying into the ss system.
Depending on how much the pensions are or any other income you have, some of your social security benefits might be taxed. If ss is your only income, it isn’t taxed.
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June 19th, 2008 at 3:28 pm
pension income is passive income
income you get from a job is earned income
after your EARNED INCOME exceeds, last time I checked it was 14K, your social security is reduced $1 for every $2 you earn
No effect on ss at either age as long as we are not talking earned income
References :