Will my receiving a pension affect my Social Security early retirement benefits?

Will my receiving a pension affect my Social Security early retirement benefits? | Syracuse, NY MCV Law

I was asked this question recently by an individual who took early Social Security in the middle of last year, but also received a small pension from a prior employer. He was afraid that his earnings for 2013 plus the pension would put him over the income limits for Social Security.

If you are younger than full retirement age, there is a limit as to how much you can earn and still receive your Social Security benefits.

The question here is whether the pension counts as “income” for Social Security purposes. The pension does not count as income for Social Security earnings limits. There is an exception for pensions based upon earnings that are not covered by Social Security, which can affect the amount of your benefit.

Also, there is a special rule for individuals who retire in the middle of a year and have already earned more than the annual earnings limit. Under this rule, you can receive your full Social Security check for any whole month you are retired, notwithstanding your earnings up to the date you retire. If you work after retiring, the earnings tests apply.

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