Social security taxes
My wife and I receive social security of $5500 a month and the only other income we have is our RMD at the end of the year. Is all or part of our income taxable and what is my liability on federal taxes
Terry Says
You must pay taxes on up to 85% of your Social Security benefits if you file a: Federal tax return as an “individual” and your “combined income” exceeds $25,000. Joint return, and you and your spouse have “combined income” of more than $32,000. If you are married and file a separate return, you probably will have to pay taxes on your benefits.
Consult your tax advisor as to the rate you will pay — and whether your deductions do or don’t put you above this limit. You’ll find more details here: https://www.irs.gov/faqs/social-security-income
