kthomasusa1
Expert Alumni

Retirement tax questions

Well first of all CONGRATS on retirement and earning your full benefit on your own!! Well done!!

Now for your question. The amount of tax created by your social security income is dependent upon your other income. During this first year of transition, it appears you might have more social security income than in prior years. If you look at your 2021 tax return, you will see the amount of taxable income you had from other sources. You would add that number to your new social security income (for half the year, since the increase started mid-year) and this will determine how much of your new social security income is subject to tax. Here is a good article for you to review.

https://ttlc.intuit.com/turbotax-support/en-us/help-article/retirement-income/receiving-social-secur...

 

I guess my final comment would be to not worry about whether you have 100% predicted your taxes. the stress of that is not good for anyone. Enjoy your new life and if you want to budget for some additional tax, you can have 10% of your social security withheld for taxes. and then you can get on with enjoying your life.

 

Kelly C, CPA