Congress Introduces Bill to End Social Security Earnings Test Above $24,480
Updated
Updated · mundonow.com · Jun 28
Congress Introduces Bill to End Social Security Earnings Test Above $24,480
2 articles · Updated · mundonow.com · Jun 28
Summary
The Working Freedom Act for Older Americans would stop reducing Social Security checks for people who claim benefits early and keep working, removing a penalty now tied to earned income.
Under current rules, beneficiaries ages 62 to 66 can have part of their payments withheld if annual earnings exceed about $24,480 in 2026, a threshold supporters say discourages work.
Rep. Greg Murphy introduced the measure in the House, arguing retirees already earned those benefits through payroll contributions and should not lose income for staying employed.
Sen. Rick Scott has backed the push in the Senate, calling the earnings test a Great Depression-era rule that no longer fits older Americans' finances or labor-market needs.
The bill has only been introduced and still must move through Congress, but supporters say it could help retirees manage higher living costs while easing labor shortages.