U.S. Representative Jackie Walorski (R-Ind.) introduced legislation to provide immediate economic relief to seniors who continue working or return to work after claiming Social Security benefits.
“Older Americans who keep working or return to work after taking Social Security shouldn’t have their benefits reduced or delayed – especially during this national crisis,” Congresswoman Walorski said. “By suspending an unnecessary penalty on Social Security recipients, we can provide immediate economic relief to seniors in the workforce, including those returning to work out of financial necessity or to help fight coronavirus. This simple, commonsense reform would help America’s working seniors at a time when they need it most.”
This legislation would suspend for one year the Retirement Earnings Test (RET), a penalty on Social Security Old-Age and Survivors Insurance (OASI) beneficiaries who choose to enter, remain in, or return to the labor force. This would provide immediate relief to Social Security recipients who must return to work due to financial hardship, as well as those such as health care retirees who return to work to help in the coronavirus response effort.
Last year, Walorski introduced the Senior Citizens’ Freedom to Work Act to permanently repeal the RET, which affects younger seniors who work after claiming Social Security benefits. In 2000, Congress eliminated the RET for those who are at or above their full retirement age. The legislation would build on that reform by eliminating the earnings penalty for all Social Security OASI beneficiaries.