How do the earnings limitations applied to annuitants who work after retirement change in 2000?
Like social security benefits, railroad retirement tier I benefits and vested dual benefits paid to employees and spouses, and tier I, tier II and vested dual benefits paid to survivors, are subject to earnings deductions if post-retirement earnings exceed certain exempt amounts. For those under age 65, the exempt earnings amount rises to $10,080 in 2000 from $9,600 in 1999. For beneficiaries ages 65 through 69, the exempt earnings amount rises to $17,000 in 2000 from $15,500 in 1999. These earnings limitations do not apply to any annuitants age 70 or older, starting with the month in which they are 70. For those under age 65, the earnings deduction is $1 in benefits for every $2 of earnings over the exempt amount. For those ages 65 through 69, the deduction is $1 for every $3 of earnings over the exempt amount. A special rule applies to earnings for one year, usually the first year of retirement. Under this rule, a full annuity can be paid, regardless of annual earnings, for any month
