Is there a limit to the number of hours you can work if drawing Social Security at age 63?

No, there are no restrictions on the number of hours worked, but there are income limits for people drawing Social Security retirement benefits before full retirement age (65 if born before 1943; 66 if born between 1943 and 1954).

Under 2010 SSA guidelines, people who have not yet reached full retirement age can earn only $14,160 per year without incurring a penalty. For every $2.00 over the limit, $1.00 is withheld from benefits. There is an exception for the first year of early retirement, though.

In the first year, there is no limit on the amount of income you can earn prior to the month you retire. You will not be penalized for pre-retirement income. For the remainder of the year, you will receive a full benefit check for each month in which you earn $1,180 or less (one-twelfth of $14,160).

If you earn more than the maximum allowed, the Social Security Administration will withhold your monthly benefit check beginning in January of the following year until the overage is completely offset.