Social Security

[blume357]

Y'all be glad... I have a close friend who because of her investment income last year... they decided to deduct over $600 from her check to pay for medicare.... every month.

How much Social Security was she receiving PRIOR to the deduction. She obviously isn't yet over 70.

71.....

Second question.... So, I've started getting SS early.. I turned 62 this past year and am not sure how much longer I'm going to be round and figured I better get it while I can... between a massive heart attack and diving off a roof .... So, when I do my taxes for this year... do I still have to pay for SS... historically I've paid very little in federal income tax but that SS has always been the major part of what I pay every year?

Maybe that's a dumb question... but it won't be the first or probably last time.....

 

[Pat-inCO]

So, when I do my taxes for this year... do I still have to pay for SS...

https://www.ssa.gov/pubs/EN-05-10069.pdf

 

[Dave P.]

Y'all be glad... I have a close friend who because of her investment income last year... they decided to deduct over $600 from her check to pay for medicare.... every month.

How much Social Security was she receiving PRIOR to the deduction. She obviously isn't yet over 70.

71.....

Second question.... So, I've started getting SS early.. I turned 62 this past year and am not sure how much longer I'm going to be round and figured I better get it while I can... between a massive heart attack and diving off a roof .... So, when I do my taxes for this year... do I still have to pay for SS... historically I've paid very little in federal income tax but that SS has always been the major part of what I pay every year?

Maybe that's a dumb question... but it won't be the first or probably last time.....

If you're asking if you still have to file/pay fica on your income the short answer is yes.
As for paying federal income tax on your ss income....that gets more involved.
If your business is some type of corporation and you as an individual maybe owns the
property it operates out of you can pay yourself market value rent and not have that income
effect your SS income.
The game can get complicated.....sometimes worth the time to talk with a pro
about all the possibilities.
We're about the same age and I also had a heart attack some years back. Add that to family
history and I figure I'll be dead by about 80 years old. I'm going to start drawing this summer
after I turn 63

 

[vito]

The answer is yes, you pay Federal Income tax on the income you receive from Social Security. It might be different if you are receiving Disability payments instead of the regular payments at retirement age. Some states (like Illinois) exempt SS and other pensions from state income taxes. As a 10% disabled veteran, I get a non taxable monthly check from the V.A., but an amount equal to that check is deducted from my military pension check. The advantage is that I do not pay Income Tax on that amount; probably saves me about $100 a YEAR.

 

[Slyk Willy]

1.6% is huge!!!

Compared to what 0bummer did, that's true.

ABSOLUTLY! My point was that many companies' raises are in the .5% range. 1.6% is huge.