Your tier I component is not reduced for your nonrailroad earnings if you are receiving social security benefits.
Otherwise, the Annual Earnings Exempt Amount is the amount of nonrailroad earnings you can have in a calendar year without losing part of your tier I component. Use Chart 3 to determine your Full Retirement Age. Then refer to Chart 4 below and Form G-77a, How Work Affects Your Railroad Retirement Annuities.
The employee's nonrailroad earnings over the Annual Earnings Exempt Amount for the employee's age group may also cause work deductions in your tier I component.
Chart 4 - Determining Your Work Deductions
|
For a year in which:
|
You may lose up to $1 in tier I components for every:
|
The Work Deduction:
|
|
you attain Full Retirement Age,
|
$3.00 of earnings over the Annual Earnings Exempt Amount for your age group. However, your earnings are only counted for months before the month in which you attain Full Retirement Age.
|
is removed effective the month in which you attain Full Retirement Age.
|
|
you are under your Full Retirement Age for the entire year,
|
$2.00 of earnings over the Annual Earnings Exempt Amount for your age group.
|
applies for the full year.
|
|
you work outside the U.S. for 45 or more hours per month,
|
$2.00 of earnings. There is no Annual Earnings Exempt Amount for work outside the U.S. However, your earnings are only counted for months before the month in which you attain Full Retirement Age.
|
is removed effective the month in which you attain Full Retirement Age.
|