Social Security Income

[kimifaz]

I am recently retired as of June 2022. Is my social security income taxable?

[cajacks1]

Hi! Part of your social security income may be taxable. It depends on your total combined income. If you are filing single, your social security income will be taxable after your combined income exceeds $25,000. If you are filing jointly, your social security income will be taxable after your combined income exceeds $32,000.

https://faq.ssa.gov/en-us/Topic/article/KA-02471#:~:text=You%20must%20pay%20taxes%20on,income%E2%80%....

[kimifaz]

Thank you!  I checked the SS site and since I am married and filing jointly (my wife is still working) it says that if our combined income is more than $44,000, up to 85 percent of your benefits may be taxable.  We will fall into this category...so what determines how much of the social security benefits may be taxable?

[VolvoGirl]

You can try filling out the IRS worksheet by hand an see what you come up with.  But it can be tricky and most people do it wrong.  

IRS Pub. 915 on Social Security. There is a blank worksheet on page 16.
https://www.irs.gov/pub/irs-pdf/p915.pdf

[mbpeddie · Accepted solution]

Congratulations on your retirement! A great question to ask!

You may have to pay federal income taxes on your social security benefits. This usually happens when you have other substantial income in addition to your Social Security.

If you file  as an individual and your "combined income" is:

• between $25000 and $34000,  up to 50% of your benefits may be taxable
• more than $34000 up to 85% of your benefits may be taxable

If you file a joint return and your "combined income" is:

• between $32000 and$44000 , up to 50% of your benefits may be taxable
• more than$44000 , up to 85% of your benefits may be taxable

https://www.irs.gov/faqs/social-security-income

[Opus 17]

There is a link on this page to an interactive IRS calculator.

https://www.irs.gov/newsroom/dont-forget-social-security-benefits-may-be-taxable