A. There are two social security benefits earnings tests for early claimers who are still working.
Annual Earnings Test
The Social Security Administration always applies the annual earnings test first. Based on the test, the agency temporarily withholds $1 of a worker's benefits for every $2 earned over $17,040 in 2018. In a year the worker hits full retirement age, the test is more generous - the worker forfeits $1 in benefits for every $2 in 2018 earnings above $45,360.
In the month a worker hits full retirement age, the earnings test goes away! The worker can earn whatever he or she could, and the monthly benefit amount will be adjusted upward to take into account all the benefits forfeited in the past.
Monthly Earnings Test
If you are tripped up by the annual test, you still have a chance to get full benefit, if you pass the monthly earnings test. The agency will apply a monthly earnings test and set your payments according to whichever test is better for you.
This works best for people who retire in the middle of year not to be penalized. The monthly test can be used for only one year - usually the first year of retirement. And it comes to play generally for midyear retirees who have already earned more than the annual limit. Those who pass the monthly earnings test can receive 100% of their benefits for any whole month the agency considers them retired, regardless of total annual earnings.
Now your should know why it's better to claim social security benefits until you are at full retirement age!