How Much of My Social Security is Taxable?
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- เผยแพร่เมื่อ 27 มิ.ย. 2024
- Explanation of how much of your Social Security benefits may be taxable
To watch my video, "Are Social Security Benefits Taxable?" - • Are Social Security Be...
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#SocialSecurity #TaxPlanning #RetirementPlanning
DISCLAIMER: This video is only helpful hints and education. It is not specific tax, legal or investment advice. Before considering acting on anything you see in this video, first consult with your tax, legal or investment advisor. While the information expressed in this video is believed to be accurate, neither Andy Panko, CFP®, RICP®, EA nor Tenon Financial LLC make any guarantees to its accuracy.
Thank you, Thank you, Thank you. I finally get the 'tax torpedo'. Your spread/visual presentation made it very clear. Thank you.
Well explained. Very informative! Thank you.
Hi Andy. Just found your channel. Thank you so very much.
Welcome, thanks for watching!
Thanks Joel Corley for pointing out how bad the resolution was in the previous video (I didn't realize my screen share software defaulted to 360p). This video was shot in 720p, and I zoomed more into the spreadsheet
You're welcome, Andy. Your spreadsheet is much more readable now.
Actually, 1080p or higher is best for content that contains text. 720p is about the minimum bar. I mentioned 720p because most USB cameras that have been on the market for the past 15-20 years support 720p, so all PC cameras should support it.
Unfortunately, the compression schemes used to compress these images can really do a number on the sharp edges found on text, so the more pixels you have to start with, the better the image should come out. In practice your video mixing software should be able to support up-sampling a lower resolution video of *YOU* into a picture-in-picture window in a higher resolution video containing the spreadsheet window. Unfortunately, I don't know the mixing tools TH-camrs use today, so I can't help you with the actual configuration of that software.
And no, I'm not really that much of a camera aficionado. It's just that I worked in the Windows camera pipeline team until I retired from Microsoft last year. And years before Microsoft, I worked on MPEG video hardware and software, so I know a few things about how this stuff works behind the scenes.
You really nailed the explanation for this confusing SS Tax Torpedo. Thank you so much.
Thank you!
Very useful information (though depressing as another viewer wrote). Thanks.
Hi Andy thank you I think you answered my question I received $26,676 on my social security for the year 2023 I’m single no other income I’m 67 years old watching your video I don’t have to pay tax right thank you your video is the best well explained and with tax samples thank you
it would be interesting to see this displayed on a graph to tell if the function of the tax increase for each incremental dollar is linear or is it geometric (parabolic)?
How do I get my hands on that excel spreadsheet...? That creation is a thing of beauty LOL.
Ha! Thanks. Sorry, but I'm considering that proprietary 😄
HELP......... does anyone know if the 1/2 off social security benefits to calculate provisional income apply to the lump sum for back benefits?
Very informative (and depressing…) Thanks!
Depressing indeed *sigh*
Don't you need to do this before tax time, so you can pay estimated taxes during the year and not be penalized at tax time for not paying it?
Yes, in a perfect world, everyone would do a full projection of their annual taxable income at the beginning of each year. And then use that to ensure they have enough taxes withheld or paid via estimated payments.
But in reality, most people don't and just clean up whatever additional tax (and potential interest penalty) is due, or whatever refund is due, at tax return time.
Those threshold should be raised.😮
Hi Andy. I enjoy your content. We are working on our plan and I have a question for you. My wife and I are the same age and my estimated SS benefit is almost double that of my wife. If I pass away at age 63 can my wife draw on her SS until she is age 70 and then request to draw on my benefit? In other words, can she wait to draw on my benefit(higher amount) for several years even though I have passed away?
Hi Rik. Yes, your wife can draw on her own benefit and later switch to her "survivor" benefit off of your record. However, if she starts her own benefit early, there wouldn't be a benefit to her waiting until 70 to switch over to her survivor benefit. If she starts the survivor benefit before her own Full Retirement Age (presumably 67, assuming she was born in 1960 or later), it will be reduced due to early filing penalty. But once she reaches her Full Retirement Age, the survivor benefit amount won't get any larger (other than normal annual Cost of Living Adjustments). Additionally, since she will have already started her own benefit, it similarly won't grow any more either (again, other than the annual Cost of Living Adjustment).
Therefore, if her survivor benefit will be larger than what her own benefit amount is (which sounds like would be the case based on what you said), there wouldn't be any benefit of her waiting beyond her Full Retirement Age to start the survivor benefit.
Thank you Andy!!
How come you didn’t use the form SSA-1099 maybe I’m wrong..
That doesn’t show how much of the benefits are taxable. It simply shows the gross amount of benefits received (which is one of the inputs needed in the process I showed in the video). And it also shows Medicare deductions and tax withholdings, but neither of those things help in determining how much of the benefits are taxable.
Wow. So single if I make $1800 a month in dividend income and $1400 a month in SSI I don't even need to file.
U can't live off of that if ur spouse working...
Hi Andy, I have a 28k SS benefits and I have regular wages of 22k. I am senior citizen, single. What percentage of SS benefits is taxable. Really appreciate your advise on this matter. Thanks
Assuming you're at least 65 by the end of this year, and the $22,000 of wages you mention is the amount that's taxable (i.e. after any pre-tax contributions to retirement savings plans like a 401(k) and/or any pre-tax paycheck deductions for things like health insurance), 22.1% (or $6,200) of your gross Social Security benefits will be included in your gross income on your tax return. Which means your total gross income would be $22,000 of taxable wages plus $6,200 of taxable Social Security for total gross income of $28,200. Minus your 2023 standard deduction (assuming you use the standard deduction instead of itemizing deductions) of $15,700 and your 2023 taxable income would be $12,500.
Thanks for your quick response. I am 67yrs old. Just to clarify. I need to include only $6,200 of my Social Security benefits of $28k? Please confirm.
@@dannyboycalendas Run it through whatever tax prep software you use to confirm it firsthand. But based on the info you provided, yes.
Thank you very much!
Hi, Andy. I'm 63/single.Just filed. SS admin. is estimating my benefit @1400/mo. No IRA or investments. They told me I can earn under $25,000 and not pay taxes on the SS income. So I'm okay as long as I don't make over $24,999? Thanks
NONE of my social security is taxable! It was a tax when they took it out of my check. If you tax it again, it's double taxation, which is unconstitutional. Tell me I'm wrong.
Unfortunately your wrong 😢
@@silversurfertim2123 And you're full of beans. What don't you understand about the word UNCONSTITUTIONAL?
I’m just saying that the way it is I know it’s wrong
@silversurfertim2123 And what I'm saying is I don't have to be a constitutional scholar to know that when they voted to start taxing social security, they didn't make it a constitutional amendment, which makes that law mute. What they are doing is unconstitutional, and the Constitution is the law of the land!
It is inhumane to tax ss benefits. They give it to you with one hand and take it back with the other hand. You break you back working and have to retire with this BS. ITS LIKE GETTING SLAPPED IN THE FACE.
Social Security benefits are undeserved and should be taxed
Are you high 😅