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Lesson Topics
Introduction
Persons Affected
Earnings Limit
Benefit Reductions
Earnings Defined
Reporting Changes
Resources
Summary & Case Studies

The Retirement Earnings Test for Reducing Benefits

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Blackboard with the following text: "Retirement Earnings Test: It Pays To Get Older!"

There is an annual earnings limit on how much income people younger than full retirement age can earn by working, without having their Social Security retirement benefits reduced. This earnings limit is also called the retirement earnings test.

Someone younger than full retirement age who is collecting Social Security retirement benefits and earns more than $12,000 in 2005 will be subject to the retirement earnings test.

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