Simple answer: No.
A small portion of your social security (SS) will be taxable, but not not enough to trigger an underpayment penalty. You can wait to pay at tax time.
Social security only becomes taxable
when added to sufficient other income. If you are otherwise required to file a tax
return, you do need to enter it in Turbotax (TT). TT will determine the taxable
portion.
Social security (including SSDI) becomes taxable when your income,
including 1/2 your social security, reaches:
Married Filing Jointly(MFJ): $32,000
Single or head of household: $25,000
Married Filing Separately and lived with your spouse at any
time during the tax year: $0
After TurboTax (TT) calculates
the taxable portion of SS, it puts the total amount of SS on line 5a of form 1040
and the taxable amount on line 5b (lines 20a & 20b in 2017). TT also produces
a worksheet to show how the taxable amount
is calculated.
How
much is "sufficient other income"?
The simple answer is $12,000 (a single person's filing requirement). But the answer
varies dependent on marital status, filing status, age, the amount of your Social
security, and whether you are claimed as a dependent by someone else.
When TT prints out your return, it will provide you with the IRS social security worksheet showing you how
the taxable amount was calculated. Here’s
a copy showing you how the calculation is done:
https://www.irs.gov/pub/irs-prior/i1040gi--2018.pdf#page=33
(2018)
http://apps.irs.gov/app/vita/content/globalmedia/social_security_benefits_worksheet_1040i.pdf (2017)
