Taxes on Social Security hit some for first time: What to know

[corbe]

Taxes on Social Security hit some for first time: What to know

Social Security recipients need to run the numbers to find out if their benefits are now taxable.

By Justin Dennis and Danielle Langenfeld | Jan. 29, 2024

Thanks to a recent cost-of-living adjustment (COLA), millions of people are getting bigger monthly checks from Social Security.

Many of those people are now learning they’ll have to pay taxes on those benefits — taxes some have never had to pay before.

Although Social Security has been adjusted each year since 1975 to account for inflation, as FOX News Business explains, “The amount of benefits exempted from taxes has remained unchanged for decades.”

(WJW) — Millions of Social Security beneficiaries are seeing bigger monthly checks thanks to a recent cost-of-living adjustment (COLA), but at the same time, many are now learning they’ll have to pay taxes on those benefits — taxes some have never had to pay before.

According to a recent survey by The Senior Citizens League, during the 2023 tax season, 23% of survey participants who received Social Security for three years or more said they paid taxes on it for the first time.

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https://thehill.com/changing-america/respect/poverty/4434167-taxes-on-social-security-hit-some-for-first-time-what-to-know/

[corbe]

If you still need help determining if your benefits are now taxable, click here for an interactive tax assistant tool provided by the IRS.

https://www.irs.gov/help/ita/are-my-social-security-or-railroad-retirement-tier-i-benefits-taxable

[Elderberry]

If you still need help determining if your benefits are now taxable, click here for an interactive tax assistant tool provided by the IRS.

https://www.irs.gov/help/ita/are-my-social-security-or-railroad-retirement-tier-i-benefits-taxable

Thanks! I hate going thru the SS math every year. This is the first year we don't owe any taxes. I can't remember when that's happened before.

[corbe]

  Though I dissolved my LLC 7 years ago, when I retired, this is the first year I pay.  Though I jump though the hoops to hide Income.

[libertybele]

Thanks! I hate going thru the SS math every year. This is the first year we don't owe any taxes. I can't remember when that's happened before.

Last year we got audited yet again, because we didn't owe.  This year ... well ... I can only hope that we don't owe. With the increase in SS benefits we just might. We get a reduction in property taxes based on our adjusted income -- that might be down the toilet now as well.

[mystery-ak]

Well we have to pay...$300 more than last year.

Mike has already increased the amount of tax withheld from his military pension..so much for the cola increase..