BillM223
Expert Alumni

Retirement tax questions

Are you saying that you feel that your assessed taxes are too high, especially compared to last year?

 

Federal Income Tax, Social Security Tax, and Medicare Tax are three totally separate taxes. The $10,453 Social Security tax is the max you can pay (the cap for SS wages is $168,600). What is paid for one tax does not carry over to another.

 

If you have last year's return, pull it out and compare line by line the 1040s and Schedules 1, 2, and 3. When there is a jolting difference between one year and the next, it's typically one particular thing. Do the comparison until you find it.

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