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Info Seeker
Posts: 3
Registered: ‎05-08-2010

Re: Overpayment Letter from Social Security

Message 1 of 6 (786 Views)

Thank you...I now totally understand what happened.  I really appreciate your help.

Valued Social Butterfly
Posts: 8,625
Registered: ‎08-18-2008

Re: Overpayment Letter from Social Security

Message 2 of 6 (802 Views)

kinneys

I came back to add this FAQ which AARP answered about this situation in 2013 - The limits are different between 2013 and 2014 but the $1.00 reduction for every $3.00 over the limit is the same.

 

http://www.aarp.org/work/social-security/info-02-2013/working-collecting-social-security-benefits.ht...

Valued Social Butterfly
Posts: 8,625
Registered: ‎08-18-2008

Re: Overpayment Letter from Social Security

Message 3 of 6 (807 Views)

There is a "Special Earnings Test" for the 1st year that you retire and it affects mostly those folks who sign up after mid year and are working up to the month they retire.

 

Social Security - How We Deduct Earnings From Benefits (note example 2 - retiring at full retirement age / mid year

https://www.ssa.gov/planners/retire/whileworking2.html

 

If you reached full retirement age during 2014, a more generous earnings test applies than if you were retiring early at age 62.  SSA will deduct $1 from your benefits for each $3 you earn above $41,400 until the month you reach full retirement age. The earnings restrictions disappear at full retirement age, meaning clients age 66 or older can earn any amount without losing any Social Security benefits. 

 

In 2014, the limit was $ 41,400 so if you made that much in the months before you officially retired ( before the month you became FRA)and they didn't adjust it, they are now are asking you for this amount back - $1.00 for every $3.00 you make over that limit.

 

It only affects you during that specific window and only if you have made more than the (yearly specified) income limit BEFORE turning you ur FRA.

FRA = Full Retirement Age

 

Hope this helps.  It sounds very much like what you are describing.

 

 

 

 

 

 

Info Seeker
Posts: 3
Registered: ‎05-08-2010

Re: Overpayment Letter from Social Security

Message 4 of 6 (824 Views)

Thank you for the response.  I have already been to the Social Security office.  No one seems to be able to give me an answer on why the time I worked before I retired is considered in the calculation for an overpayment.  I did not work after I retired. I understand if I continued to work I would have dollars reduced if I made over a certain amount.  

Recognized Social Butterfly
Posts: 1,198
Registered: ‎04-07-2009

Re: Overpayment Letter from Social Security

[ Edited ]
Message 5 of 6 (836 Views)

You need to visit the Social Security  site and if you haven't already, create an account (My Account).

 

If you can't find your answer there then contact your nearest Social Security office.

 

Look at this, it is found under FAQ.

https://faq.ssa.gov/link/portal/34011/34019/Article/3739/What-happens-if-I-work-and-get-Social-Secur...

Info Seeker
Posts: 3
Registered: ‎05-08-2010

Overpayment Letter from Social Security

Message 6 of 6 (877 Views)

I retired 2 1/2 years ago and just received a letter stating I was overpaid in 2014.  I now have to repay this amount but still don't understand the logic behind the explanation given to me.  I retired Sept 2014 and my 66th birthday was November 2014.  I was told that the money I earned from January 2014 to September 2014 exceeded the allowable amount you can earn when you collect from Social Security.  I was always under the impression that only was in effect once you started collecting not before.  Does anyone know the answer to this.  Thank you.