Sponsors (2)
The bill raises take-home pay and simplifies certain income rules for working beneficiaries and SSI recipients, at the cost of higher Social Security outlays, potential incentives to claim earlier that increase long-term strain, and short-term administrative and implementation burdens.
Working Social Security beneficiaries (seniors/retirees) can keep more of their earned wages because the earnings test is repealed, increasing monthly benefits and take-home pay.
SSI recipients and low-income older adults face clearer, simpler income rules because SSI income counting is updated to remove repealed cross-references and explicitly define wages and self-employment.
Railroad Retirement beneficiaries who also receive Social Security no longer face duplicate earnings offsets, simplifying benefit coordination and increasing net pay for that smaller group.
Taxpayers may face higher Social Security program costs because benefits for working beneficiaries will no longer be reduced by the earnings test, increasing federal outlays.
Some near-retirees may claim higher benefits earlier or change claiming behavior, increasing long-term program liabilities and potentially reducing fiscal sustainability.
Removing earnings offsets and amending statutory cross-references will require SSA, payroll, and tax-system updates, creating short-term implementation costs and possible confusion for administrators, employers, and beneficiaries.
Based on analysis of 2 sections of legislative text.
Repeals most Social Security retirement earnings‑test provisions and makes conforming edits to SSI and Railroad Retirement law so wages no longer reduce retirement benefits under those repealed rules.
Official title: Amend title II of the Social Security Act to repeal the retirement earnings test, and for other purposes.
Introduced March 24, 2026 by Richard Lynn Scott · Last progress March 24, 2026
Removes most of the Social Security retirement earnings test so that work income will no longer reduce retirement benefits under the portions of the law repealed, and makes related edits across the Social Security Act, the Supplemental Security Income (SSI) income rules, and the Railroad Retirement Act to reflect that repeal. The changes apply to taxable years beginning after enactment and require multiple conforming technical edits and cross‑reference updates so federal benefit programs operate without the repealed earnings‑test provisions.