You should report your earnings when you begin or end nonrailroad employment and expect to earn more than the Annual Earnings Exempt Amount to allow timely adjustment or your annuity. Also report if you will earn substantially more or less than you earned in the previous year.
When you tell us that you have begun non-railroad employment or changed your earnings from the previous year, we apply temporary deductions to your annuity based on the amount you expect to earn.
Later, if your non-railroad earnings are covered by the Federal Insurance Contributions Act (FICA) or the Self-Employment Contributions Act (SECA), the RRB will receive an annual report of those earnings from a tape match with the Social Security Administration.
It sometimes takes longer for the RRB to receive information about nonrailroad earnings that are not covered by FICA or SECA. If you receive such earnings, you should report your final earnings for the year by April 15, of the following year.
Refer to Form G-77a, How Work Affects Payment of Retirement Annuities, for the current Annual Earnings Exempt Amounts for your age group and refer to the following chart:
How Earnings Deductions are Assessed
| If: |
Then the amount of: |
For months: |
Is deducted from: |
| employees are entitled based on age and are under FRA for the full calendar year, |
$1.00 for every $2.00 which they earn over their Annual Earnings Exempt Amount, |
in the full calendar year, |
employee and spouse Tier 1, any employee VDB, or all family member shares in the calculation of the Special Guaranty computation |
| employees are entitled based on age and attain FRA during the calendar year, |
$1.00 for every $3.00 which they earn over their Annual Earnings Exempt Amount, |
up to the month the employees attain FRA, |
employee and spouse Tier 1, any employee VDB, or all family member shares in the calculation of the Special Guaranty computation |
| spouses are under FRA for the full calendar year, |
$1.00 for every $2.00 which spouses earn over their Annual Earning Exempt Amount, |
in the full calendar year, |
their spouse Tier 1 or their shares in the calculation of the Special Guaranty increase. |
| spouses attain FRA during the calendar year, |
$1.00 for every $3.00 which spouses earn over their Annual Earnings Exempt Amount, |
up to the month the spouses attain FRA. |
their spouse Tier 1 or their shares in the calculation of the Special Guaranty increase. |
| your minor or student children work, |
$1.00 for every $3.00 which spouses earn over their Annual Earnings Exempt Amount, |
in the full calendar year. |
their shares in the calculation of the Special Guaranty increase. |