Does my pension count against my social security allowable income?

jml313 — Mon, 03 Jun 2019 18:37:47 GMT

I started taking social security this tax year and when I added the pension amount from my 1099-R the amount I owe went from a projected $500 refund to owing nearly $4000. I was under the impression pension payments did not count against the $18000 or so allowable earned income when taking social security.

TAX ON SOCIAL SECURITY Up to 85% of your Social Security...

xmasbaby0 — Mon, 03 Jun 2019 18:37:49 GMT

TAX ON SOCIAL SECURITY

Up to 85% of your Social Security benefits can be taxable. There is no age limit for having to pay taxes on Social Security benefits if you have other sources of income along with the SS benefits. When you have other income such as earnings from continuing to work, investment income, pensions, etc. up to 85% of your SS can be taxable.

What confuses people about this is that before you reach full retirement age, if you continue working while drawing SS, your benefits can be reduced if you earn over a certain limit. (For 2017 that limit is $16,920) After full retirement age, no matter how much you continue to earn, your benefits are not reduced by your earnings; your employer will still have to withhold for Social Security and Medicare.

To see how much of your Social Security was taxable, look at line 14b of your 1040A, or line 20b of your 1040

https://ttlc.intuit.com/questions/1899144-is-my-social-security-income-taxable

topic Does my pension count against my social security allowable income? in Retirement tax questions

Does my pension count against my social security allowable income?

TAX ON SOCIAL SECURITY Up to 85% of your Social Security...