What is the Income Limit for Social Security: Single vs. Joint Income?

by | Nov 21, 2023 | Spousal IRA | 28 comments

What is the Income Limit for Social Security: Single vs. Joint Income?




If you’re married, can your spouse’s earnings affect your social security benefit? What happens if one spouse earns more than the Social Security income limit? Does the other spouse have their benefit reduced? The answer is yes…and no – but I promise it’s really not complicated.

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Social Security Income Limit: Single or Joint Income

Social Security is a federal program that provides financial assistance to retired or disabled individuals, as well as their families. The program is funded through payroll taxes and provides a much-needed source of income for millions of Americans. However, there are limitations on how much income an individual can earn while still receiving Social Security benefits.

For individuals who are receiving Social Security benefits and continue to work, the Social Security Administration imposes an income limit. If an individual earns more than the designated limit, their benefits may be reduced or suspended. The income limit varies depending on whether the individual is single or married.

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For individuals who are single, the income limit for 2021 is $18,960. This means that if an individual earns more than $18,960 in a year, their Social Security benefits will be reduced by $1 for every $2 earned above the limit. For example, if an individual is receiving $1,000 in Social Security benefits per month and earns an additional $1,000 in a month, their benefits will be reduced by $500 for that month.

For individuals who are married and both spouses are receiving Social Security benefits, the income limit is slightly higher. In 2021, the income limit for couples is $32,000. Just like for single individuals, if a married couple earns more than the income limit, their benefits will be reduced by $1 for every $2 earned above the limit.

It’s important to note that once an individual reaches full retirement age, there is no longer an income limit on how much they can earn while collecting Social Security benefits. Full retirement age varies depending on the year in which an individual was born, but it is typically between 66 and 67 years old.

It’s also important to keep in mind that Social Security benefits may be taxed depending on an individual’s total income. If a person’s combined income, including their Social Security benefits, exceeds a certain threshold, a portion of their benefits may be subject to federal income tax.

In summary, the income limit for those receiving Social Security benefits varies depending on whether the individual is single or married. If an individual exceeds the income limit, their benefits may be reduced. However, once an individual reaches full retirement age, there is no longer an income limit on their benefits. It’s important for individuals to understand these limitations and plan accordingly to ensure they maximize their Social Security benefits.

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28 Comments

  1. William Papadopoulos

    They need to DRASTICALLY RAISE THE EARNINGS LIMIT UPWARDS (like, $30,000!) DUE TO BIDENOMICS INFLATION!!! Bidenomics has made it VERY difficult to live off of a fixed income! I had to go back to work but limit what I made just to make ends meet but yet come underneath the earnings test amount. I have a FERS retirement supplement that has the same earnings test amount as Social Security, but is about half the amount.

  2. Tom Moran

    Hello.

    I am 62 and have elected to take SS early.

    My son of 6 is receiving benefits under my record.

    My wife of 36 is also receiving benefits under my record as the caregiver to my son.

    My wife is an legal immigrant (green card) and has no work history in the US.

    I am considering writing a book and selling it on Apple/Amazon.

    I know that that would be income for me to declare.

    However, my wife is highly educated and could “interview” me and produce and sell this book.

    My first question is if she sells the book and we file our taxes separately would that potentially effect my payment? Her payment?

    Also, would any money made from the book in the second or more years after publication be earned income or passive income?

  3. Bomb Dawg

    My wife is working and not drawing benefits. I am about to start drawing benefits at 64, and NOT exceed my individual earnings limit. My wire's income doesn't affect my benefit, right?

  4. Crafty Limey

    Devin can you please try to answer a question that no one seems to have a video on? And that is if one spouse is collecting SSI at full retirement age and is their only source of income. but the other spouse is still working., is it better to file joint or individual taxes? SSI income is S17000 and working spouse income is $34000 for example Thanks! Derek

  5. Jerry Bennett

    Terribly confusing. Are you saying wage income or any income (Cap gains, dividends etc)? Be clear.

  6. Robert Blakely

    My wife works part-time and will be 62 later in 2021. Her gross pay exceeds the earnings limit. However, she does receive health insurance coverage and pays for about 1/3 of its cost via pre-tax payroll deduction, and contributes to a 401K, also via pre-tax deduction. Does the SS earnings limit apply to her gross pay, or her net adjusted income? She also has a defined contribution based retirement annuity plan from a prior employer that she can begin collecting any time she chooses. Am I correct that the annuiy payments will be EXCLUDED from the earnings limit? I find your YouTube clips very informative and too the point… Thanks!

  7. ElGavilanSegoviano

    Big Government is the worst organize crime Family ever!!……The SOBs are a bunch of criminal crooks!!….

  8. Christi Shea

    Earnings test should be based on single income,

  9. Steve Smith

    Devin, Happy New Year and thanks for the great info in all of your videos! I have a possible new subject for you – What Social Security issues may arise for couples with large age gaps. And when I say large, I'm talking 10-30 years. Keep up the great work!

  10. MoneyManFernando

    This is confusing. It should only be based on individual earnings and not effect your spouse. But in reality there should be NO Earnings test. Its my money and if I need to keep working because my social security check is not enough for me to live on the Gov`t should stay out of it. This is a stupid rule. Who came up with this dumb rule ??

  11. john thompson

    Hey Devin, sounds like the system is just cooking the books more & more so eventually social security won't have any resemblance of security, lol, good video, tc

  12. Phillip Carden

    A person born in 1951 and does not take benefits until 70, what if any is the maximum earning limit?

  13. David Trobaugh

    Hi, I would like to no if I put in at 62, three mouths before my B-day
    When will I get my first payment.
    And how many mouths will I get
    Paid. When I get it.

  14. davhutton

    So, Devin, which are reduced benefits due to excess earnings beyond the limit call back into tennis social security package? That is, will they be restored at a later time when you go full SS retirement, and no longer are employed?

  15. Lawrence of America

    How does excess earnings effect a retiree who has not reached FRA and has children under 19 years old still attending school?

  16. Todd Seger

    Question, if my wife passed away before she started drawing SS
    If I remarry after 60 and collect on my previous wifes SS will her SS be added together with my current wife’s SS if she draws at 62. My intent is to switch later at 65 or 67 with my own SS.
    So can both myself and my current wife draw say 17,000 income each before our full retirement age without going over the limit?

  17. Sarah Leach

    Single. Thanks for your great videos

  18. Jay Blue

    If your struggling, have trauma or are handicap, I don’t recommend his advocates. I am and they literally don’t help any one so it’s not handicap or mind melt friendly. Save your money, I’m think in my head with brain damage spouse and much trauma in my life in the past years, I was told they would but it’s not happening and I was even yelled at for trying and crying… it’s enough to send you in a spin and it hits hard that not even paid folks will help you with the vertigo

  19. Berk Wiley

    single

  20. Steve Simons

    There should bo NO earnings test. SS retirement payments are my money, paid in over a lifetime of work. If I need to continue working, it should not matter how much or how little I earn.

  21. Chawa

    Single for sure

  22. hkmp5kpdw

    Peopl get confused by the earnings test and benefit amount subject to Federal tax…

  23. Victor Zavala

    I don't know how else to ask you about SSDI tallied up my amounts for the month and there math is wrong" there just putting me in a bracket with others around THE SAME NABORHOOD' " if you will with the " same kind of 'worker, around the same age', around the same time I got a it ( ss). They won't listen to me cuss the think I'm to dumb to follow there steps to the formula to figure it out

  24. Mz Tweety

    If you are at full retirement age and you're still working and receiving your benefits, does your paycheck have social security taken from it?

  25. buster smith

    That god the IRS isn't screwing everybody !!!!! LoL,,,,

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