Early Retirement and Working

[Patrick Flammia]

I'm pretty sure I know the answer to this question, but it has big implications so I want to be sure.

Client wants to claim Social Security before their FRA, and they receive a VA disability pension.

Their VA pension since it is not considered earned income does not take away from the roughly $21k you are allowed to make on early retirement, correct?

Thank you!

 

[Fisher]

If the VA bennie is not taxed as income, then it would have no impact on the SS Earnings Test.

 

[Todd King]

I'm pretty sure I know the answer to this question, but it has big implications so I want to be sure.

Client wants to claim Social Security before their FRA, and they receive a VA disability pension.

Their VA pension since it is not considered earned income does not take away from the roughly $21k you are allowed to make on early retirement, correct?

Thank you!

You are 100% correct on this.