Use the following formula to answer the indicated question: Benefit amount = Maximum award - 0.4 (Wages in excess of ceiling)Rafael is retired and earns $15,000 per year working part-time.He is entitled to a maximum Social Security retirement benefit of $14,000.Social Security regulations allow him to earn $10,000 and still get maximum benefits.Rafael's total income,including Social Security benefits,is

Question

Quizplus · Accepted Answer

Rafael earns $5,000 in excess of the $10,000 ceiling ($15,000 - $10,000). The reduction in his Social Security benefits is 0.4 * $5,000 = $2,000. Therefore, his Social Security benefit is $14,000 - $2,000 = $12,000. His total income, including his part-time earnings and Social Security benefits, is $15,000 + $12,000 = $27,000.

Use the Following Formula to Answer the Indicated Question: Benefit