"Steven" <NOSPAMstlco[at]yahoo.com> wrote in message news:<YYzxb.121525$Ec1.5173578[at]bgtnsc05-news.ops.worldnet.att.net> ...
- quote -

It only applies to earned income. However, if your income is high
enough, you will need to pay taxes on your SS income.

The SSA says:
"A law that went into effect January 1, 2000, changed the way we
determine how your benefits are affected when you work while receiving
retirement or survivors benefits. When you're working, your benefit
amount will now be reduced only until you reach your full retirement
age (age 65 and 2 months in 2003), not up to age 70 as the previous
law required.

We use this formula to determine how much your benefit must be
reduced:

If you're under full retirement age when you begin receiving your
Social Security benefits, $1 in benefits will be deducted for each $2
you earn above the annual limit. For 2003, that limit is $11,520.

In the year you reach full retirement age, $1 in benefits will be
deducted for each $3 you earn above a different limit, but only for
the months before the month you reach the full retirement age. For
2003, this limit is $30,720. Starting with the month you reach full
retirement age, you can receive your full benefits with no limit on
your earnings."

--
Ron

In article <YYzxb.121525$Ec1.5173578[at]bgtnsc05-news.ops.worldnet.att.net> ,
"Steven" <NOSPAMstlco[at]yahoo.com> writes:

- quote -

It applies only to income earned from employment


"Jack" - John H. Fisher - TaxService[at]aol.com
Philadelphia, Pa - Atlantic City, NJ - West Wildwood, NJ
My Newsgroups & Boards at: http://members.aol.com/TaxService/index.html

Where Ignorance is bliss, 'tis folly to be wise!=

under the normal retirement age SS is reduced $1 for every $3 over the
limit, does this apply only to earned income or all income? I.e. ira
distributions, rental income, pensions????