Ways You Could Lose Your Social Security Benefits

By : Raam Dhakad

KYD - Personal Finance

Social Security serves mostly older retirees, as well as the disabled through Social Security Disability Insurance (SSDI).

A Supplemental Security Income (SSI) program gives extra support to the most vulnerable, who are disabled or blind, and who have limited resources.

If you collect benefits or plan to in the near future, it's also important to understand how you could lose some or all of your Social Security benefits.

If you claim before the full retirement age of 67 (at age 62) you lose up to 30% of your benefits. For life, if you do not withdraw your claim within one year.

Once you reach full retirement age, there is no income test to qualify for full benefits. But if you claim early and earn a lot of money, you will get less.

If you are imprisoned for more than 30 days as a punishment for a criminal conviction, the SSA will suspend your Social Security benefits.

Although it won't happen automatically, the SSA can resume payments in the month following your release.

Although the incarcerated person cannot receive benefits, spouses and dependents will continue to collect payments as long as they are eligible.

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