US Citizen/CDN resident collecting social security while working

[schwaz]

Having a hard time getting a straight answer on this question: if I'm over 65, start collecting SS while residing in Canada and want to work-- I was told there's a rule that applies to expats that if they work over 45 hours <even after hitting full retirement age> there's a penalty similar to WEP where benefits are reduced. Does anyone know if this is true?

[nelsona]

This is correct, but only if you have not reached full retirement age.

This is similar to US residents collecting SS before their full retirement age, but who continue to work, once they reach a certain threshold, their benefits are reduced. In US it is a dollar amount, in foreign countries it is an hour threshold.

But is definitely does NOT apply once you have reached your full returment age, as defined by SSA based on your birthdate.

Foreign residents receiving SS below full retirement age are required to inform SSA of any work they do outside US:

https://www.ssa.gov/pubs/EN-05-10137.pdf

[nelsona]

From what I understand, it could be as much as 100% of your benefit being withheld during this months.

[nelsona]

https://www.ssa.gov/OP_Home/handbook/ha ... -1823.html

it is completely withheld.

[schwaz]

Thanks. I was told by a woman who works at a SS office in Bellingham, WA., that the rule applied even after reaching full retirement age. I figured she knew what she was talking about b/c it's so close to the Canadian border. Wow, someone needs to better train their workers...

1823.3Are benefits withheld if you are over full retirement age and you work?

No. If you are at least full retirement age, we do not withhold benefits for any month you work.

[nelsona]

Correct, just make sure you have reached FULL retirement age, as determined by SSA, in the PREVIOUS tax year. SSA can still come after benefits in the tax year you reached full retirement age, but not the following year.

[schwaz]

This is very helpful. Much appreciated, Nelsona! Thanks for your service to this board.