Working While Receiving Social Security
How the 2026 earnings test may affect benefits before full retirement age.
2026 annual earnings limits
Under full retirement age for all of 2026: The limit is $24,480. Social Security may withhold $1 in benefits for every $2 of wages or net self-employment earnings above the limit.
Year you reach full retirement age: The limit is $65,160 for earnings before the month you reach full retirement age. Social Security may withhold $1 for every $3 above that limit.
Beginning with the full-retirement-age month: The earnings limit ends. Earnings no longer reduce retirement benefits.
Practical examples
Example 1: A person under full retirement age earns $34,480 in 2026—$10,000 above the $24,480 limit. Social Security may temporarily withhold $5,000 in benefits.
Example 2: A person reaches full retirement age in August 2026 and earns $68,160 from January through July—$3,000 above the $65,160 limit. Social Security may temporarily withhold $1,000 before August. Starting in August, the earnings test no longer applies.
What counts as earnings?
Social Security generally counts wages from a job and net earnings from self-employment, including bonuses, commissions, and vacation pay. It generally does not count pensions, annuities, investment income, interest, veterans benefits, or other government or military retirement benefits.
Self-employed people must also consider whether they perform substantial services in the business, especially under the special first-year retirement rule.
Special first-year retirement rule
If you retire during the year after already earning more than the annual limit, a special monthly rule may allow a full benefit for whole months Social Security considers you retired. In 2026, the monthly amount is generally $2,040 for someone under full retirement age all year and $5,430 during the year full retirement age is reached, subject to the self-employment service rules.
Continued work can increase your benefit
Social Security calculates retirement benefits using up to 35 years of indexed earnings. New higher earnings may replace a lower year in that calculation. Social Security reviews records and may increase the monthly benefit when later earnings improve the formula.