blister1889
Registered Users (C)
This is from the SSA website ( ssa.gov ) It seems it says that even if you have 40 credits AND are a US citizen or GC holder, if you work outside the US and certain other countries before your retirement age, your benefits will be curtailed. Any thoughts?
This is double whammy for non GC or non citizens. In addition to the uncertainity about Social security, you benefits will also be withheld if you work in another country before 65 ( I think this is because you are not contributing to social security during that time)
The foreign work test
Benefits are withheld for each month a beneficiary younger than full retirement age works more than 45 hours outside the U.S. in employment or self-employment not subject to U.S. Social Security taxes. It does not matter how much was earned or how many hours were worked each day.
A person is considered to be working on any day he or she:
Works as an employee or self-employed person;
Has an agreement to work even if he or she does not actually work because of sickness, vacation, etc.; or
Is the owner or part owner of a trade or business even if he or she does not actually work in the trade or business or receive any income from it.
Generally, if a retired worker’s benefits are withheld because of his or her work, no benefits can be paid to anyone else receiving benefits on his or her record for those months. However, the work of others receiving benefits on the worker’s record affects only their own benefits.
The annual retirement test
Under certain conditions, work performed outside the U.S. by U.S. citizens or residents is covered by the U.S. Social Security program. If your work is covered by U.S. Social Security, the same annual retirement test that applies to people in the U.S. applies to you.
NOTE: Work by some U.S. citizens and residents outside the U.S. is exempt from U.S. Social Security as a result of international Social Security agreements the U.S. has concluded with the following countries:
Australia
Austria
Belgium
Canada
Chile
Finland
France
Germany
Greece
Ireland
Italy
Japan
Korea (South)
Luxembourg
Netherlands
Norway
Portugal
Spain
Sweden
Switzerland
United Kingdom
(This list of countries is subject to change from time to time. For the latest information, please visit www.socialsecurity.gov/international/countrylist5.htm or contact your nearest U.S. Social Security office, U.S. Embassy or consulate.)
If you are working in one of these countries and your earnings are exempt from U.S. Social Security taxes because of the agreement, your benefits will be subject to the foreign work test. For further information on how your benefits may be affected by an agreement, contact the nearest U.S. Embassy or consulate or Social Security office.
If your work is covered by the U.S. Social Security program, you can receive all benefits due you for the year if your earnings do not exceed the annual exempt amount. This limit changes each year. If you want to know the current limit, ask at any U.S. Embassy or consulate or Social Security office or write to us at the address shown under “How to report.”
If your earnings go over the limit, some or all of your benefits will be reduced by your earnings.
If you are younger than full retirement age, $1 in benefits will be withheld for each $2 in earnings above the limit.
In the year you reach full retirement age, your benefits will be reduced $1 for every $3 you earn over a different, higher limit until the month you reach full retirement age.
Count your earnings for the whole year in figuring the benefits due you. For most people, this means earnings from January through December.
People who reach full retirement age can receive all of their benefits with no limit on their earnings
This is double whammy for non GC or non citizens. In addition to the uncertainity about Social security, you benefits will also be withheld if you work in another country before 65 ( I think this is because you are not contributing to social security during that time)
The foreign work test
Benefits are withheld for each month a beneficiary younger than full retirement age works more than 45 hours outside the U.S. in employment or self-employment not subject to U.S. Social Security taxes. It does not matter how much was earned or how many hours were worked each day.
A person is considered to be working on any day he or she:
Works as an employee or self-employed person;
Has an agreement to work even if he or she does not actually work because of sickness, vacation, etc.; or
Is the owner or part owner of a trade or business even if he or she does not actually work in the trade or business or receive any income from it.
Generally, if a retired worker’s benefits are withheld because of his or her work, no benefits can be paid to anyone else receiving benefits on his or her record for those months. However, the work of others receiving benefits on the worker’s record affects only their own benefits.
The annual retirement test
Under certain conditions, work performed outside the U.S. by U.S. citizens or residents is covered by the U.S. Social Security program. If your work is covered by U.S. Social Security, the same annual retirement test that applies to people in the U.S. applies to you.
NOTE: Work by some U.S. citizens and residents outside the U.S. is exempt from U.S. Social Security as a result of international Social Security agreements the U.S. has concluded with the following countries:
Australia
Austria
Belgium
Canada
Chile
Finland
France
Germany
Greece
Ireland
Italy
Japan
Korea (South)
Luxembourg
Netherlands
Norway
Portugal
Spain
Sweden
Switzerland
United Kingdom
(This list of countries is subject to change from time to time. For the latest information, please visit www.socialsecurity.gov/international/countrylist5.htm or contact your nearest U.S. Social Security office, U.S. Embassy or consulate.)
If you are working in one of these countries and your earnings are exempt from U.S. Social Security taxes because of the agreement, your benefits will be subject to the foreign work test. For further information on how your benefits may be affected by an agreement, contact the nearest U.S. Embassy or consulate or Social Security office.
If your work is covered by the U.S. Social Security program, you can receive all benefits due you for the year if your earnings do not exceed the annual exempt amount. This limit changes each year. If you want to know the current limit, ask at any U.S. Embassy or consulate or Social Security office or write to us at the address shown under “How to report.”
If your earnings go over the limit, some or all of your benefits will be reduced by your earnings.
If you are younger than full retirement age, $1 in benefits will be withheld for each $2 in earnings above the limit.
In the year you reach full retirement age, your benefits will be reduced $1 for every $3 you earn over a different, higher limit until the month you reach full retirement age.
Count your earnings for the whole year in figuring the benefits due you. For most people, this means earnings from January through December.
People who reach full retirement age can receive all of their benefits with no limit on their earnings