Taxation of Social Security Benefits

If your (and your spouse’s, if married) only income is Social Security, your Social Security will not be taxable. However even a modest amount of other taxable income can result in paying taxes on a portion of your benefits. Taxable income might include for example, your wages, self-employment, interest, dividends.

Here is an overview of what portion of your Social Security may be taxed. If you:

The definition of “combined income” is calculated by adding your adjusted gross income plus nontaxable interest income plus one-half of your Social Security benefits.

For more information on the taxation of Social Security retirement benefits, visit Social Security online, for the Retirement Benefits Guide. You also can get information from the IRS, including Publication 554, Tax Guide for Seniors, and the instructions for your Form 1040 federal income tax return.

If you believe that you’ll owe income taxes on your social security benefits, you can either make quarterly payments to the IRS or choose to have federal taxes withheld from your monthly benefits amount.