I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for...
I feel your pain mate, as a fellow retiree, I’d suggest you look into passive index fund investing and learn some more. For me, I had my share of ups and downs when I first started looking for a consistent passive income so I hired an expert advisor for aid, and following her advice, I poured $30k in value stocks and digital assets, Up to 200k so far and pretty sure I'm ready for whatever comes...
@@EmilyEvelyn-90 The crazy part is that those advisors are probably outperforming the market and raising good returns but some are charging fees over fees that drain your portfolio. Is this the case with yours too?
Understanding tax requirements with Social Security is essential for retirement planning education. This video clarifies the process effectively. Thanks for the helpful info!
I assume the ACA advance credit question would normally apply to those who are age 62-65 and on ACA. After that they are on Medicare presumably. The other condition about being required to file would be if you had interest and dividend income in addition to the SS. Correct? There has to be a reason for people to have Federal tax withheld from SS aside from desiring to loan money to the government interest free.
Yes, the ACA thing was just one example that came to mind of why someone would need to file a tax return. But to your point, anyone of Medicare age presumably wouldn't be on ACA so that particular point should be a non-issue. Even if you had other sources of income (such as dividends and interest), you still may not necessarily need to file a tax return. If the amount of your dividends and interest was small enough, even when added to Social Security income, your gross income may be small enough that your standard deduction more than offsets it such that a return isn't required. And so long as you didn't have taxes withheld from Social Security, a return wouldn't be required (neither by the IRS, nor by you to get a refund, since there wouldn't be any tax payments or withholdings to refund)
I don’t have any other income than social security and I was told I do have to file a return and I will pay taxes on 85% of it. I gross just over 33k, no Medicare, single. Is that wrong?
If that is literally all of your income, you won’t have any federal tax obligation. Which means you generally don’t need to file a return. But if you have any tax withheld from your Social Security payments, you’ll want to file a return to get a refund for those taxes withheld.
Unfortunately that isn't enough info to know. It depends how much your total SS benefits are and how much your total 401(k) and IRA distributions are. If your total gross income exceeds your standard deduction for the year, yes, you have to file. Or, even if the previous condition doesn't hold true and you DON'T need to file a return, you may still want to, especially if you had any taxes withheld. You'll want to file a return to get those withholdings back if you end up not having any tax obligation for the year
Hi Andy If both of us ( husband and wife ) has only social security income Do we have to pay tax ? If so what will be the maximum amount for No Tax ? Looking forward your answer Thank you always
If Social Security is truly your only source of income (no pension, annuity, interest, dividends, capital gains, 401(k)/IRA, etc.) you won't have any federal tax obligation on your Social Security. As for state income tax, it depends what state you live in. But, chances are, even for states that do have income tax, you similarly may not have any tax obligation at the state level, either. But I can't say for sure since I don't know what state you're in.
Hello there, I received a SSA-1042S from Social Security for 2023, The Box6 Rate of Tax is 00%, Box7 Amount of Tax withheld is none, Box8 Amount of Tax Refunded none, Box9 Net Tax withheld during 2023 (Box7 minus Box8) none, Box4 Benefits Repaid to SSA in 2023 NONE. what should I do for the federal income Tax return report?
I don’t believe the disability income shouldn’t impact things as it’s not taxable. But try that IRS link provided in the notes to the video to see what it says with regards to whether you actually have to file a return or not.
If half of your SS benefit is above the minimum threshold, you will pay tax on your SS for the amount above the minimum. So this means that for any SS benefit above 50k yearly, you would have your SS taxed.
But the standard deduction would wipe away any taxable portion of Social Security there would be anyway. Hence Social Security alone wouldn’t require someone to have to file a federal return
@@RetirementPlanningEducationThat is music to my ears! Do they take out taxes beforehand, or is there an option to get the payment without anything taken out? I pay all my Medicare from checking account using auto pay. Can I elect to keep it that way, and receive the full amount?
On Social Security Early Retirement, and now 66. And apparently I make so little that... I'm still getting Obamacare. Sharing that tidbit with Insurance Agents who want to give me a "Great Deal" on a Medicare *DIS*advantage plan seems to get rid of them with a quickness.
If you get zero income and have a retirement invested and are 50 do you have to file. And I just got SSDI so next year do I have to file if the Ssdi is under 14k year and you just have a retirement sitting there.
I CASHED IN MY 401 IN 2022 AND I HAVE PAID AN IRMAA ALL OF 2024. I GOT 27.000.00 FROM SOCIAL SECURITY IN 2023 AND THEY SENT ME A LETTER SAYING I HAVE TO PAY THE IRMAA AGAIN FOR 2025 FOR THE YEAR 2022. I TRIED TO FILE A TAX RETURN FOR 2023. BECAUSE THE 27.000.00 IS SO LOW THEY SAID I DID NOT HAVE TO FILE FOR 2023 AND NOW SS IS USING MY 2022 INCOME AGAIN FOR 2025 IRMAA. HOW CAN I GET THS STRAIGHTENED OUT?
I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for...
I feel your pain mate, as a fellow retiree, I’d suggest you look into passive index fund investing and learn some more. For me, I had my share of ups and downs when I first started looking for a consistent passive income so I hired an expert advisor for aid, and following her advice, I poured $30k in value stocks and digital assets, Up to 200k so far and pretty sure I'm ready for whatever comes...
@@EmilyEvelyn-90 That's actually quite impressive, I could use some Info on your FA, I am looking to make a change on my finances this year as well..
@@NaufalKnoechel My advisor is *MARGARET MOLLI ALVEY*
You can look her up online
@@EmilyEvelyn-90 The crazy part is that those advisors are probably outperforming the market and raising good returns but some are charging fees over fees that drain your portfolio. Is this the case with yours too?
Understanding tax requirements with Social Security is essential for retirement planning education. This video clarifies the process effectively. Thanks for the helpful info!
Thank you!
Very helpful content. We just had this conversation with my Mom over the weekend. Thank you!
Thanks for the helpful info !
Excellent content, thank you Andy Panko!
I assume the ACA advance credit question would normally apply to those who are age 62-65 and on ACA. After that they are on Medicare presumably. The other condition about being required to file would be if you had interest and dividend income in addition to the SS. Correct? There has to be a reason for people to have Federal tax withheld from SS aside from desiring to loan money to the government interest free.
Yes, the ACA thing was just one example that came to mind of why someone would need to file a tax return. But to your point, anyone of Medicare age presumably wouldn't be on ACA so that particular point should be a non-issue.
Even if you had other sources of income (such as dividends and interest), you still may not necessarily need to file a tax return. If the amount of your dividends and interest was small enough, even when added to Social Security income, your gross income may be small enough that your standard deduction more than offsets it such that a return isn't required. And so long as you didn't have taxes withheld from Social Security, a return wouldn't be required (neither by the IRS, nor by you to get a refund, since there wouldn't be any tax payments or withholdings to refund)
I really like these short videos.
Thanks. And they’re MUCH easier to make than the long ones! 😂
Agreed
Thank you for the informative video. Cute little bird 🐥 on that wall stand ❤.
YES u DO!!!!.....even if is only a formality!!.....u may not have to pay....but u have to FILE!!
It’s definitely good practice to always file. But it’s not actually required in some cases:
www.irs.gov/help/ita/do-i-need-to-file-a-tax-return
Geeze Quit hollering! He does a great job explaining !
@RetirementPlanningEducation You are great at explaining.
I don’t have any other income than social security and I was told I do have to file a return and I will pay taxes on 85% of it. I gross just over 33k, no Medicare, single. Is that wrong?
If that is literally all of your income, you won’t have any federal tax obligation. Which means you generally don’t need to file a return. But if you have any tax withheld from your Social Security payments, you’ll want to file a return to get a refund for those taxes withheld.
If you are on SS pension, and you have RMD from your 401(k) and IRA, must you file tax returns?
Unfortunately that isn't enough info to know. It depends how much your total SS benefits are and how much your total 401(k) and IRA distributions are. If your total gross income exceeds your standard deduction for the year, yes, you have to file. Or, even if the previous condition doesn't hold true and you DON'T need to file a return, you may still want to, especially if you had any taxes withheld. You'll want to file a return to get those withholdings back if you end up not having any tax obligation for the year
Hi Andy
If both of us ( husband and wife )
has only social security income
Do we have to pay tax ?
If so what will be the maximum amount for No Tax ?
Looking forward your answer
Thank you always
If Social Security is truly your only source of income (no pension, annuity, interest, dividends, capital gains, 401(k)/IRA, etc.) you won't have any federal tax obligation on your Social Security.
As for state income tax, it depends what state you live in. But, chances are, even for states that do have income tax, you similarly may not have any tax obligation at the state level, either. But I can't say for sure since I don't know what state you're in.
Hello there, I received a SSA-1042S from Social Security for 2023, The Box6 Rate of Tax is 00%, Box7 Amount of Tax withheld is none, Box8 Amount of Tax Refunded none, Box9 Net Tax withheld during 2023 (Box7 minus Box8) none, Box4 Benefits Repaid to SSA in 2023 NONE. what should I do for the federal income Tax return report?
What if you are receiving tax free disability from the service related disability?
I don’t believe the disability income shouldn’t impact things as it’s not taxable. But try that IRS link provided in the notes to the video to see what it says with regards to whether you actually have to file a return or not.
If half of your SS benefit is above the minimum threshold, you will pay tax on your SS for the amount above the minimum. So this means that for any SS benefit above 50k yearly, you would have your SS taxed.
But the standard deduction would wipe away any taxable portion of Social Security there would be anyway. Hence Social Security alone wouldn’t require someone to have to file a federal return
@@RetirementPlanningEducationThat is music to my ears! Do they take out taxes beforehand, or is there an option to get the payment without anything taken out? I pay all my Medicare from checking account using auto pay. Can I elect to keep it that way, and receive the full amount?
@@emilcost8613yes, you can elect to have no taxes withheld from Social Security. But you can’t elect to NOT have Medicare deducted from your payment.
On Social Security Early Retirement, and now 66. And apparently I make so little that...
I'm still getting Obamacare.
Sharing that tidbit with Insurance Agents who want to give me a "Great Deal" on a Medicare *DIS*advantage plan seems to get rid of them with a quickness.
Suppose if I get retirement and Social Security, do I have to file
If you receive any income out side your SS money then yes you have to file.
If you get zero income and have a retirement invested and are 50 do you have to file. And I just got SSDI so next year do I have to file if the Ssdi is under 14k year and you just have a retirement sitting there.
I CASHED IN MY 401 IN 2022 AND I HAVE PAID AN IRMAA ALL OF 2024. I GOT 27.000.00 FROM SOCIAL SECURITY IN 2023 AND THEY SENT ME A LETTER SAYING I HAVE TO PAY THE IRMAA AGAIN FOR 2025 FOR THE YEAR 2022. I TRIED TO FILE A TAX RETURN FOR 2023. BECAUSE THE 27.000.00 IS SO LOW THEY SAID I DID NOT HAVE TO FILE FOR 2023 AND NOW SS IS USING MY 2022 INCOME AGAIN FOR 2025 IRMAA. HOW CAN I GET THS STRAIGHTENED OUT?
File a return for 2023. Even though you don’t HAVE TO, it would benefit you so you can show your income in 2023 was low and below IRMAA territory.
If your on survivors ss and you don't work then No you don't. If your unsure still contact IRS and ask them like I did.
In Texas