# City Job at 60 and Social Security



## FrancesAnn (Aug 26, 2021)

I am seriously considering taking a job with a City public school system. I am 60 years old and have enough years in Social Security to receive a pension when I retire. 

The City job pays into a retirement fund. It's 10 years to vestment and the ability to draw a pension from that account. 

Let's say I take the City job, when I retire, hopefully at 67, I will not have been vested into the City retirement fund. 
I can cash out the savings. Does it in any way affect Social Security? 

If the income matters with the City, it's $65K which is a handsome salary IMHO

I appreciate some clarity on this situation.


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## OneEyedDiva (Aug 28, 2021)

*Welcome* to the forum FrancesAnn. It's good that you are planning for your retirement years. You said _"I am 60 years old and have enough years in Social Security to receive a pension when I retire." _I know people used to call it "old age pension" but SS and pensions are two different things. So might I assume you mean you'll be able to receive SS benefits when you retire (not a pension from another job)? If you get that city job  it will boost the amount off the SS you'll collect when you retire *if* the city takes out deductions for SS.

Cashing out will not affect the amount of SS you receive but may affect how much you pay in taxes. When you file your taxes, the determination of how much of your SS benefit is taxable depends on your income for the filing year. Cashing out what's not vested will add to your income for that year and might increase your tax liability. Here is what the IRS says about taxing SS benefits:
https://www.irs.gov/newsroom/filing-season-reminder-social-security-benefits-may-be-taxable


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