I stuck myself with early filing at age 62 and was still working. I'm 66 now and continue to work. When I filed my earnings for the previous 36 quarters were $103,189 and my payment was $937. Most of which I never received. Now they are $205,201 and I receive $1107. My current income is even higher. Will I recover the with held payments, and will I benefit from the increased earnings?
Geoffrey,
The benefits that are lost due to the Earnings Test are not repaid. Rather, the early retirement reduction factor is adjusted at your full retirement age (FRA) to account for early benefits that you didn't actually receive. In your case, since you took your benefit four years early, which means that it was reduced by 25%, if you never received any of those early benefits due to the Earnings Test, then at your FRA the early retirement reduction factor would be eliminated and your future benefits would not be reduced. It would be just as if you didn't take your benefit early. If you received some reduced benefits, then the adjusted reduction factor would be prorated between 25% and 0%.
Yes, you will benefit from your increased earnings.
Best,
Mike