Retirement Planning/So SE

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Question
How is Social Security income taxed (assuming income limit is not exceeded)?
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Answer
Half of the SS is combined with all other income to determine one's Adjusted Gross Income. If the AGI reaches certain thresholds, up to 85% of SS income could be included in taxable income. All other income includes tax-free bond interest, but not Roth IRA distributions.

A single filer would be taxed on 50% of SS, if his AGI is between $25,000 and $34,000. Above that amount he would be taxed on 85% of his SS.

A couple would be taxed on 50% of SS, if their AGI is between $32,000 and $44,000. Above that amount they would be taxed on 85% of his SS.

Willard R. Brumbaugh

www.brumbaughinsuranceannuityagency.com

Retirement Planning

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Willard R. Brumbaugh, LUTCF

Expertise

I have answered many questions regarding 401ks, IRAs and annuities as well as life insurance. I have been counselling against most Qualified Plans since 1994.

Experience

Ranked in the top 5 in retirement catagories at Askme.com most of its last 2 1/2 years. Organizations I belong to: National Association of Insurance and Financial Advisors-California
Inland Empire Estate Planning Council


Education/Credentials
Life Underwriters Training Council Fellow

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