How Can You Know If You Owe Taxes on Social Security?
You might owe taxes on Social Security and you can tell looking at your income. For example, this year, couples who file a joint tax return and actually have a combined income between $32,000 and $44,000 will have to pay tax on up to 50 percent of their benefits. If their combined income is more than $44,000, they’ll be taxed on up to 85 percent of their benefits.
If you’re single and your income threshold is between $25,000 and $34,000 you will have to pay tax on up to 50 percent of your benefits. If it’s more than $34,000, we are speaking about 85 percent of your benefits. Note that “combined income” refers to your adjusted gross income plus any nontaxable interest and one-half of your Social Security benefits.
