Retirees Keep $50,000 Side Income After Age 67 Without Social Security Cuts

1 articles · Updated · 24/7 Wall St. · May 16

$50,000 in annual self-employment income does not reduce Social Security once a retiree reaches full retirement age, which is 67 for people born in 1960 or later.
Before FRA, the 2026 earnings test exempts only $24,480 and withholds $1 in benefits for every $2 above that level; a $50,000 consulting income would trigger about $12,760 in withholding.
In the year a worker reaches FRA, the limit rises to $65,160 and withholding eases to $1 for every $3 above it, applying only to earnings before the FRA birthday.
The report says retirees near FRA can avoid the hit by waiting to launch side work, delaying Social Security to 70 for roughly 8% annual credits, or keeping net self-employment income under the threshold.

Is a widely misunderstood Social Security rule needlessly preventing retirees from earning extra income during high inflation?

Could repealing the Social Security earnings test to help retirees now actually hasten benefit cuts for everyone later?

Beyond working, what strategies can protect your retirement savings from both inflation and potential Social Security cuts?