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Earnings Limits 2026

Social Security: How Much Can I Earn?

Complete guide to Social Security earnings limits in 2026. Understand how much you can earn while receiving retirement, disability, or SSI benefits, how the earnings test works, and what happens if you exceed the limits.

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2026 Earnings Limits Coming Soon

The 2026 Social Security earnings limits will be announced by the Social Security Administration in October 2025. The limits typically increase each year based on national wage growth. This page shows 2025 amounts and will be updated with official 2026 figures once announced.

Understanding Social Security Earnings Limits

One of the most common questions about Social Security is: "How much can I earn while receiving benefits?" The answer depends on several factors, including your age, the type of benefits you receive, and the source of your income. Social Security has specific earnings limits that determine whether your benefits will be reduced if you work.

For retirement benefits, the earnings test applies only if you're under full retirement age (FRA). Once you reach FRA, you can earn any amount without your benefits being reduced. For disability benefits (SSDI), different rules apply based on Substantial Gainful Activity (SGA). SSI benefits have the strictest income limits because it's a needs-based program.

It's important to understand that not all income counts toward these limits. Only wages from employment and net earnings from self-employment are considered. Pensions, investments, rental income, and other passive income sources don't affect your Social Security benefits under the earnings test.

2026 Earnings Limits by Benefit Type

Different earnings limits apply based on your age and benefit type

Under Full Retirement Age

$23,400 (2025)
Applies if you're under FRA for the entire year
Benefit Reduction:
$1 for every $2 over limit

Year You Reach FRA

$62,160 (2025)
Higher limit applies only for months before FRA
Benefit Reduction:
$1 for every $3 over limit

At or After Full Retirement Age

No Limit
Earn any amount without benefit reduction
Benefit Reduction:
No reduction

SSDI (Disability)

$1,550/month (2025)
Substantial Gainful Activity limit applies
Benefit Reduction:
May lose benefits if over SGA

What Income Counts Toward the Earnings Limit?

Understanding which types of income affect your Social Security benefits

Counts Toward Limit

  • Wages and salaries from employment
  • Net earnings from self-employment
  • Bonuses and commissions
  • Vacation pay and sick pay
  • Tips and gratuities

Does NOT Count

  • Pensions and annuities
  • Investment income (interest, dividends)
  • Capital gains
  • Rental income (passive)
  • Social Security benefits
  • Unemployment benefits
  • Gifts and inheritances

How Earnings Affect Your Benefits

Real-world examples of benefit reduction calculations

Example 1: Under Full Retirement Age All Year

Sarah is 64 and earns $30,000 in 2026 while receiving $1,500/month in benefits
Annual earnings:$30,000
Earnings limit (2025):-$23,400
Excess earnings:$6,600
Reduction ($1 for every $2):$3,300
Benefits withheld:~2.2 months

Example 2: Year You Reach Full Retirement Age

John turns 67 in July 2026 and earns $70,000 while receiving $2,000/month in benefits
Annual earnings:$70,000
FRA year limit (2025):-$62,160
Excess earnings:$7,840
Reduction ($1 for every $3):$2,613
Benefits withheld (Jan-June only):~1.3 months
After July (FRA month), no earnings limit applies

Example 3: At or After Full Retirement Age

Maria is 68 and earns $100,000 while receiving $2,500/month in benefits
Annual earnings:$100,000
Earnings limit:No Limit
Benefit reduction:$0
No earnings limit after full retirement age - earn any amount!

Special Earnings Rules

Important exceptions and special situations to know about

First Year Retirement Rule (Grace Year)

In your first year of retirement, a special monthly earnings test may apply instead of the annual test. You can receive your full benefit for any month you earn under the monthly limit ($1,950 for 2025) and don't perform substantial self-employment services, regardless of your total annual earnings. This helps people who retire mid-year after already earning above the annual limit.

Benefits Aren't Lost Forever

If your benefits are withheld due to excess earnings before you reach full retirement age, they're not permanently lost. When you reach FRA, Social Security will recalculate your benefit to give you credit for the months benefits were withheld. This results in a higher monthly benefit amount for the rest of your life, similar to if you had delayed claiming.

Family Benefits May Be Affected

If your benefits are reduced due to excess earnings, it may also reduce benefits paid to your family members on your record (such as a spouse or children). However, family members who work and exceed the earnings limit only affect their own benefits, not yours or other family members' benefits.

Self-Employment Income Timing

For self-employed individuals, Social Security counts income when you perform the work, not when you receive payment. This can be complex if you have accounts receivable or work on long-term projects. Additionally, in your first year of retirement, you cannot perform "substantial services" in self-employment in any month you want to receive benefits, regardless of actual earnings.

Earnings Limits for Disability and SSI

Social Security Disability (SSDI)

SSDI uses the Substantial Gainful Activity (SGA) standard instead of the retirement earnings test. For 2025, the SGA limit is $1,550 per month ($2,590 for blind individuals). If you consistently earn above SGA, you may lose disability benefits.

Work Incentives for SSDI:

  • Trial Work Period: 9 months where you can earn any amount while testing your ability to work
  • Extended Period of Eligibility: 36 months after trial work period where you can receive benefits for months under SGA
  • Expedited Reinstatement: If benefits stop due to work, you can request reinstatement within 5 years without a new application

Supplemental Security Income (SSI)

SSI is a needs-based program with strict income and resource limits. For 2025, the federal benefit rate is $967/month for individuals and $1,450/month for couples. SSI uses a complex formula to count income.

SSI Income Counting Rules:

1.
First $20 of any income (earned or unearned) is excluded
2.
Next $65 of earned income is excluded
3.
SSI reduces by $1 for every $2 of remaining earned income
4.
Unearned income reduces SSI dollar-for-dollar after the $20 exclusion

Frequently Asked Questions

Common questions about Social Security earnings limits

How much can I earn while receiving Social Security retirement benefits in 2026?

If you're under full retirement age for the entire year, you can earn up to the annual exempt amount (announced in October 2025 for 2026) without affecting your benefits. For 2025, this amount is $23,400. If you earn more, $1 in benefits is withheld for every $2 you earn above the limit. In the year you reach full retirement age, a higher limit applies ($62,160 for 2025), and $1 is withheld for every $3 earned above that limit, but only for months before you reach full retirement age. Once you reach full retirement age, there is no earnings limit.

What happens to my benefits if I earn too much?

If you exceed the earnings limit, Social Security will withhold benefits. The amount withheld depends on how much you earn over the limit and whether you've reached full retirement age. Benefits are withheld at a rate of $1 for every $2 over the limit (or $1 for every $3 in the year you reach full retirement age). However, these withheld benefits aren't lost forever - when you reach full retirement age, your benefit amount will be recalculated to give you credit for the months benefits were withheld, resulting in a higher monthly benefit for the rest of your life.

Does the earnings limit apply after I reach full retirement age?

No. Once you reach full retirement age, there is no limit on how much you can earn while receiving Social Security retirement benefits. You can work and earn any amount without your benefits being reduced. This is one of the key advantages of waiting until full retirement age to claim benefits or continuing to work after reaching that age.

What types of income count toward the Social Security earnings limit?

Only wages from employment and net earnings from self-employment count toward the earnings limit. Income that does NOT count includes: pensions, annuities, investment income, interest, dividends, capital gains, rental income (unless you're a real estate dealer), Social Security benefits, unemployment benefits, and other government benefits. The earnings test only applies to income from work.

How much can I earn on Social Security Disability (SSDI) in 2026?

For SSDI recipients, the earnings limit is based on Substantial Gainful Activity (SGA). For 2025, the SGA limit is $1,550 per month ($2,590 for blind individuals). The 2026 amounts will be announced in late 2025. If you consistently earn above the SGA level, you may lose your disability benefits because you're demonstrating the ability to engage in substantial work. However, there are trial work periods and extended periods of eligibility that provide protection as you attempt to return to work.

What is the SSI income limit for 2026?

SSI (Supplemental Security Income) has strict income and resource limits. For 2025, the federal benefit rate is $967 per month for individuals and $1,450 for couples. SSI uses a complex formula to count income: the first $20 of any income is excluded, then the first $65 of earned income is excluded, and then SSI reduces your benefit by $1 for every $2 you earn. Unearned income reduces benefits dollar-for-dollar after the $20 exclusion. The 2026 amounts will be announced in late 2025.

Can I work part-time while receiving Social Security benefits?

Yes, you can work part-time while receiving Social Security benefits. Whether your benefits are affected depends on your age, the type of benefit you receive, and how much you earn. For retirement benefits, if you're under full retirement age, your earnings will be subject to the annual earnings test. If you're receiving disability benefits, your earnings must stay below the SGA limit. Many people successfully work part-time while receiving benefits by staying under these thresholds.

What is the monthly earnings test for Social Security?

The monthly earnings test applies in special situations, typically in your first year of retirement. If you retire mid-year after already earning more than the annual limit, Social Security uses a monthly test instead. For 2025, you can receive your full benefit for any month you earn $1,950 or less (1/12 of the annual limit) and don't perform substantial services in self-employment, regardless of your annual earnings. This prevents people who retire late in the year from losing a full year of benefits.

How do I report my earnings to Social Security?

You should report your expected earnings to Social Security when you apply for benefits and update them if your work situation changes. Social Security will also verify your actual earnings using W-2 and self-employment tax information from the IRS. If you earn more or less than expected, Social Security will adjust your benefits accordingly. You can report earnings online through your my Social Security account, by phone at 1-800-772-1213, or by visiting your local Social Security office.

Will working while on Social Security increase my future benefits?

Yes, working while receiving Social Security can increase your future benefits in two ways. First, if benefits are withheld due to excess earnings before full retirement age, your benefit will be recalculated at full retirement age to account for the months you didn't receive benefits, resulting in a higher monthly amount. Second, if you continue working and paying Social Security taxes, your earnings record is updated annually. If your current earnings are higher than one of your previous 35 highest-earning years, your benefit will be recalculated upward.

Need Help Understanding Your Earnings Limit?

Contact Social Security or use your online account to report earnings and get personalized information about how work affects your benefits.

My Social Security AccountCall 1-800-772-1213

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