Depending on the amount of your combined income, you may be required to pay tax on your social security benefits.
How much is taxable?
- Retirees who have little income other than Social Security generally won’t be taxed on their benefits. and may not be required to file a return.
- Individuals with a total gross income (including Social Security) of at least $25,000 ($32,000 for Married couples filing jointly) will be taxed on 50% of their Social Security benefits.
- Individuals with a total gross income (including Social Security) of at least $34,000 ($44,000 for Married couples filing jointly) will be taxed on 85% of their Social Security benefits.
If you received income from other sources, your benefits will not be taxed unless your modified adjusted gross income is more than the base amount for your filing status. Your taxable benefits and modified adjusted gross income are figured in a worksheet inside of the Form 1040 Instruction booklet.
Before you go to the instruction book, do the following quick computation to determine whether some of your benefits may be taxable: Do NOT include children’s Social Security Benefits.
- First, add one–half of the total social security you received to all your other income, including any tax exempt interest and other exclusions from income.
- Then, compare this total to the base amount for your filing status. If the total is more than your base amount, some of your benefits may be taxable.
How do I calculate the taxable portion in the program?
The program will automatically calculate the portion of your SS Benefits that are taxable, if any. You will need to enter exactly what you have received on your SSA-1099 form, but do not include any amounts that children may have received for Social Security Benefits.
For additional information on the taxability of Social Security Benefits, see IRS Publication 915, Social Security and Equivalent Railroad Retirement Benefits or call 1-800-829-3976.