§404.415 Deductions because of excess earnings.

(a) Deductions because of insured individual’s earnings. Under the annual earnings test, we will reduce your monthly benefits (except disability insurance benefits based on the beneficiary’s disability) by the amount of your excess earnings (as described in §404.434), for each month in a taxable year (calendar year or fiscal year) in which you are under full retirement age (as defined in §404.409(a)).

(b) Deductions from husband’s, wife’s, and child’s benefits because of excess earnings of the insured individual. We will reduce husband’s, wife’s, and child’s insurance benefits payable (or deemed payable—see §404.420) on the insured individual’s earnings record because of the excess earnings of the insured individual. However, beginning with January 1985, we will not reduce the benefits payable to a divorced wife or a divorced husband who has been divorced from the insured individual for at least 2 years.