Earnings Test Limits Also Rising

The allowable limits for those drawing Social Security benefits but continuing to work-called the earnings test-also are rising slightly in 2004. For those from age 62 to their “full” retirement age (in 2004, 65 and four months), $1 will be withheld for every $2 earned above $11,640. For earnings in the year in which an individual will reach full retirement age, $1 will be withheld for every $3 earned above $31,080 in the months prior to attaining full retirement age.