When collecting social security and still working they take out of your pay where does the money go?

The money withheld from your pay when you are collecting Social Security and still working is used to pay for your Medicare coverage. Medicare is a federal health insurance program that provides coverage for people aged 65 and older, as well as people with certain disabilities.

The amount of money withheld from your pay for Medicare depends on your income. If you earn less than a certain amount, you will not have any Medicare premiums withheld from your pay. However, if you earn more than the threshold amount, you will have to pay premiums.

The Medicare premiums that are withheld from your pay are sent to the Social Security Administration. The Social Security Administration then uses the money to pay for your Medicare coverage.

If you are still working and collecting Social Security, it is important to be aware of the Medicare premiums that will be withheld from your pay. You should also be aware of the other costs associated with Medicare, such as deductibles and coinsurance.