INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.
-Lois,age 67,is receiving social security benefits.She received $25,000 in interest and dividends this year.Her social security benefits [will | will not] be reduced because of these earnings.

Question

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Lois,age 67,is receiving social security benefits.She received $25,000 in interest and dividends this year.Her social security benefits [will | will not] be reduced because of these earnings.

Quizplus · Accepted Answer

Social security benefits are reduced if an individual's income exceeds a certain threshold. In 2021, if an individual earns more than $18,960 in wages or self-employment income in addition to their social security benefits, their benefits may be reduced. However, interest and dividends do not count towards this income threshold, so Lois's social security benefits will not be reduced because of her earnings from interest and dividends. Therefore, the second item (will not) correctly completes the statement.

INSTRUCTIONS: Choose the Word or Phrase in [ ] Which