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Ben is age 64 in 2018. He began receiving Social Security payments of $18,000 at age...

Ben is age 64 in 2018. He began receiving Social Security payments of $18,000 at age 63 and continues receive that amount in 2018. His normal retirement age is 67. Ben has been working part time as a consultant and earned $20,000 in 2018. What, if any, reduction will be applied to his 2018 annual Social Security benefits?

$1,480
$1,108
No adjustment
$1,250

Solutions

Expert Solution

If Any one work, But Starting benefits before full retirement age , the social security benefits reduced for each two dollars in earnings one have above the annual limit. Here , in the Year 2018 the Annual limit is $17040. So the Answer will be

The Current Earning                                        : $20000

Annual Limit                                                       :$17040

Excess Earning Over Annual Limit              : $2960

The Reduction in Social Security Benefits: $2960/2 = $1480           

jeff jeffy answered 1 year ago
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