Every year, Abacus CPAs serves people that are in retirement, and every year, some still have to pay taxes on their Social Security benefits. Not everyone pays taxes on Social Security, and the amount of tax you will be assessed on your benefits is dependent upon other income you received throughout the year. Only those that make a substantial income alongside their benefits will be taxed.
85% of your Social Security benefits are taxable if:
– In 2022, you file single and your income is more than $34,000 in the year
– OR you file married filing joint and your combined income is more than $44,000 in the year.
Second, up to 50% of your Social Security benefits are taxable if:
– In 2022, you file single and your income is between $25,000 and $34,000 in the year.
– OR you file married filing joint and your combined income is between $32,000 and $44,000.
If your ONLY source of income, either earned or unearned income, is Social Security Benefits, you will likely not have to file federal taxes. If you have any questions, give us a call at 417-380-5000.
