Q: I am a Federal Employees Retirement System employee who will be retiring in June 2011 at the age of 66 years, 3 months. At that time, I will have 20 years of federal service. I have the option of taking Social Security benefits when I turn 66 in March or waiting until I actually retire in June. My inclination is to take the benefits when I turn 66 when there is no penalty, since I will be at full retirement age. Am I correct in this decision or am I missing something?
A: You are correct. Once you have reached full retirement age, you may earn as much as you want without any reduction in your Social Security benefit.