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The Wise Senior

Social Security Earnings Test Calculator

If you claim Social Security before full retirement age and keep working, some of your benefit is withheld once your earnings pass the annual limit. Enter your expected earnings to see how much. The part people are rarely told: what is withheld is added back to your monthly benefit at full retirement age. Estimate only.

Works offline — your inputs never leave this device. How that works

Your situation this year

The limit is much higher in the year you reach full retirement age, and the test stops entirely from that month on.

Sets your full retirement age, which is when the test stops applying.

Wages and net self-employment only. Pensions, investments, annuities and withdrawals from savings do not count.

a month

The monthly figure at full retirement age, taken from your own Social Security statement at ssa.gov. We use the number the agency gave you rather than estimating our own, so this can never disagree with what SSA tells you.

a month

What gets withheld

This year's limit

$24,480

$1 withheld for every $2 above it

Withheld this year

$7,760

You are $15,520 over the limit

Benefits you still receive

$16,240

of $24,000 for the year

Withheld does not mean lost — this is the part most write-ups miss

At full retirement age — 67 for someone born in 1962 — Social Security recalculates your benefit to give you credit for the months in which benefits were withheld. The monthly amount goes up, permanently, and over a normal retirement most people recover what was held back.

In Social Security's own words: “Benefits withheld by the earnings test are not lost. SSA: "We will recalculate your benefit amount to give you credit for the months we reduced or withheld benefits due to your excess earnings." The recomputation happens when you reach full retirement age, and it raises the monthly benefit from then on — so the earnings test is a deferral of benefits, not a penalty on them. Source: https://www.ssa.gov/benefits/retirement/planner/whileworking.html (verified 2026-08-02).

So the common description — that Social Security “takes” a dollar for every two you earn — describes a penalty, when it is closer to a deferral. People turn down work on the strength of that misunderstanding.

It is still a real cash-flow problem

The recalculation happens at full retirement age, not this year. If $7,760 is money you were counting on, the gap is genuine however it is eventually settled — and someone who dies before recouping the withheld months never does. Both things are true at once.

What counts, and what does not

Income that counts toward the earnings test
Counts toward the testDoes not count
Wages from a jobPensions and annuities
Net earnings from self-employmentInterest, dividends and capital gains
Bonuses, commissions and vacation payWithdrawals from an IRA or 401(k)
 Other government or military benefits

That distinction catches people out in both directions. A large IRA withdrawal does not trigger the earnings test at all — but it may well raise your Medicare premium two years later, which the IRMAA calculator covers.

The test stops for good at full retirement age

From the month you reach 67, there is no limit at all. You can earn any amount with no effect on your benefit, and this page stops applying to you.

Where to go for more than this page does

This calculator is deliberately simple: one number in, a clear comparison out. These do things it does not, and all of them are free.

  • Your Social Security statement (ssa.gov)

    The benefit figure every calculator here starts from. Sign in and read it off your own statement.

  • SSA's own benefit estimators

    The agency's calculators, including the quick estimate and the detailed one that works from your earnings record.

  • ssa.tools

    A free, independent tool that reads your earnings record in your browser and shows exactly how the benefit formula produced your number. Better than ours at that particular job.

  • Open Social Security

    A free, open-source calculator that finds the claiming strategy with the highest expected present value, including spousal and survivor benefits. Where to go when you want the fuller treatment.

  • Actuaries Longevity Illustrator

    From the American Academy of Actuaries: a probability range for your own longevity based on your health and habits, which is a more honest input than a single guessed age.

Verified 2026-08-02 against SSA — Cost-of-Living Adjustment (COLA) Information for 2026 (effective 2026-01-01)

Estimate only — not financial, tax, legal, or insurance advice. Only SSA can determine your actual amounts.

Official source: SSA — Cost-of-Living Adjustment (COLA) Information for 2026

🎓 Understand this tool

What it is

Estimates how much of your Social Security benefit is withheld if you are working while claiming before full retirement age, and — the part most explanations omit — what happens to the withheld money afterwards.

How it works

Below full retirement age, one dollar is withheld for every two you earn above an annual limit. In the year you reach full retirement age, a higher limit applies and the rate changes to one dollar for every three. From the month you reach full retirement age the test stops entirely. Only wages and net self-employment earnings count toward it.

Getting the most from it

  1. Say whether you are below full retirement age all year or reach it during the year.
  2. Enter your birth year and the earnings you expect from work.
  3. Enter your monthly benefit.
  4. Read what is withheld, then read the section explaining that withheld is not the same as lost.

Reading your result

The withheld amount is cash you will not receive this year. It is not a permanent loss: at full retirement age Social Security recalculates your benefit to credit the months in which benefits were withheld, and the monthly amount rises permanently. Over a normal retirement most people recover what was held back.

What it can't tell you

The recalculation comes at full retirement age, not now, so the cash-flow gap in the meantime is real, and someone who dies before recouping the withheld months never does. Pensions, investment income and withdrawals from retirement accounts do not count toward this test, though they may raise your Medicare premium two years later. Only Social Security can determine your actual withholding.

Frequently asked questions

There is an annual limit, shown on this page from the current SSA fact sheet. Below it nothing is withheld. Above it, $1 is held back for every $2 you earn. In the year you reach full retirement age a much higher limit applies and the fraction changes to $1 for every $3, counting only what you earn before that month.

Part of: Social Security When There Are Two of You

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