Do any of you pay taxes on SS benefits?

huh ? ss is taxed on only 3 levels . zero , or you are taxed on 50% of the amount or 85% of the amount . the tax rate is different than the amount of dollars of your ss gets taxed on . taxed on and taxed at are two different things .
 
Quote Originally Posted by dpwspringer
I have re-read my post several times and I am still at a loss as to how it could be interpreted as saying taxes increase by age on SS. Here is what I said:
"The amount of income it takes to trigger taxes on your SS income increases at certain ages.
LOL

That makes sense if it is read as amount of income. Triggering that increase as shown in a variety of charts and info pieces deals with certain ages.

The easiest way for me to explain why I agree. Those with accounts subject to MRD withdrawls show an increase at certain ages.
Example using a short section of an account with $115,000.00 subject to MRD. It begins at age 75 and increases with age as you pointed out.
Projected Minimum Required Distributions
Year Your
Attained Age Estimated
MRD Amount Estimated
Account Balance
2018 75 $5,036.82 $115,496.69
2019 76 $5,249.85 $115,444.19
2020 77 $5,445.48 $115,193.70
2021 78 $5,674.57 $114,702.85
2022 79 $5,882.20 $113,982.28
2023 80 $6,095.31 $113,016.17
2024 81 $6,313.75 $111,788.15
2025 82 $6,537.32 $110,281.30
2026 83 $6,765.72 $108,478.24
2027 84 $6,998.60 $106,361.16
2028 85 $7,186.56 $103,960.85
2029 86 $7,373.11 $101,265.98
2030 87 $7,557.16 $98,265.79
2031 88 $7,737.46 $94,950.29
2032 89 $7,912.52 $91,310.53
2033 90 $8,009.70 $87,409.80
2034 91 $8,093.50 $83,249.74
2035 92 $8,161.74 $78,834.24
2036 93 $8,211.90 $74,169.88
2037 94 $8,150.54 $69,356.98
2038 95 $8,064.77 $64,413.27
2039 96 $7,952.26 $59,359.61

Of course depletion is minimized by return percent I input 4 1/2 %

So much to understand in America about the impact of taxes for retirees and potential retirees. Where you live can impact what you pay in taxes. Finding out what impacts a person should be another priority in planning
 

mathjak107 said:
The taxing of rmd's is really a different topic than the op' s question
Click to expand...

If this was only about MRD's I'd agree. But my example was about explaining why I believe this post to be true.

Probably best to use the direct quote
dpwspringer said:
The amount of income it takes to trigger taxes on your SS income increases at certain ages. You get a statement like you got each year that tells you how much it is.
Click to expand...

Understanding how that can be possible I used MRD as an example. I'll try to make what my example and agreement with dpwspringer was about.
At 54 I took early retirement. We lived on my pension, savings & cash from the tax free sale of our 5 bedroom home on 12 acres of property.
At 59 1/2 I could have accessed my 401k but found out the agreement between my company & the 401k account management company was that in 15 years the 401k would have to be completely paid out. That didn't work for our plans so the 401k account was converted to self directed & traditional IRA's to build via reinvesting.
At 59 1/2 my wife 401k was converted to the same self directed & traditional IRA's.
At 62 I took the option of receiving Soc. Sec. The income amount didn't trigger taxes on that Soc. Sec.
At 62 my wife took her Soc. Sec. Her Soc. Sec. income plus pensions as in what dpwspringer posted began at the lower end of the tax schedule.
At 70 1/2 my MRD kicked in and so did the increase in the amount of taxes paid on Soc. Sec. income
At 70 1/2 my wife's MRD kicked in and that sealed our fate in the top end of our taxed Soc. Sec.

So maybe the time line of our income will clarify the post I think dpwspringer's sentence makes sense to me.
Quote
"The amount of income it takes to trigger taxes on your SS income increases at certain ages."
Or depending on circumstances some people don't pay on their Soc. Sec. income.



At times I think it is unfair to people to be taxed on their Soc. Sec. Then I think about the unfortunate people that are helped by the taxes we pay and am glad we are able to.
 
Last edited:
That is true but the op was not asking about the effects rmds might have . He was simply asking if you get taxed above a certain income and what percentage of ss gets taxed .

That has nothing to do with rmd's or even tax brackets
 
mathjak107 said:
That is true but the op was not asking about the effects rmds might have . He was simply asking if you get taxed above a certain income and what percentage of ss gets taxed .

That has nothing to do with rmd's or even tax brackets
Click to expand...
To limit a thread to a yes or no reply is not what forums are about, or at least my interpretation is for posters to share their experiences and input something beyond a yes or no answer.



The question was
Quote
"My husband makes about $28,000. So, combined with my disability checks, does that mean I will be taxed? What about next year when he is retired?"

I didn't read the op's question the same way you did. I read the 1st question as husbands present income combined with her disability checks. Nothing about "if you get taxed above a certain income and what percentage of ss gets taxed."

The 2nd. question concerned the future when her husband is retired. As posters we have no way of knowing what her husband will receive. There was nothing in her post about percentage ss will be taxed.

In general terms explaining that a MRD could impact the amount they might lose as income over time via increased tax on Soc. Sec. payments could help.
 
As the OP here, I have read every response and am taking all answers into consideration. I feel if the answers do not benefit me, right now, maybe someone else can benefit . My accountant is on his post tax season vacation, so I plan to call him after the first of the month when I know he will be back.
 
It is very simple. The reason you got the letter is because at about 32k magi 1/2 your social security gets added back in with all your other taxable income and the total is taxed.

At about 45k magi ,85% of your social security gets taxed in with all your other income.

What makes up all your other income can be many things. Earned income, rmd's ,annuity income , interest , etc all contribute to making up the income that either 50% or 85% of your social security gets added to as well as is part of that magi that determines which of the 3 levels your ss may be taxed on.

You deal with 2 moving targets with ss as total magi income increasing gets more ss taxed which increases your tax rate
 
New to the board and late to the discussion. I have a pension and S.S. (wife and I). My pension has withholding, so I am always curious as to refunds.
I use this on-line calculator http://www.foxfinancial.biz/resource-center/tax/social-security-taxes to determine estimated portion of S.S. to be taxable and use this on-line calculator http://www.dinkytown.net/java/Tax1040.html to estimate total taxes, etc. As my income does not vary much across the calendar year, those two have been reliable for estimation purposes only. I do not use those to do my taxes but provide a preview of 2017 for 2018 filing season. Generally speaking, my tax refund is usually a few dollars more.
 

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