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February 4, 2024
Question

Is my pension added in as income, have W2 income, SOS disability income, so is the pension taxes as well? Just seemed like I owe a lot? More than usual... barb

  • February 4, 2024
  • 1 reply
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1 reply

VolvoGirl
Employee
February 4, 2024

Sorry yes.  Do you have any tax withholding taken out of the pension?  Do you get SS disability? That can be taxable too.  

 

Up to 85% of Social Security becomes taxable when all your other income plus 1/2 your social security, reaches:

Married Filing Jointly: $32,000

Single or head of household: $25,000

Married Filing Separately: 0

JohnB5677
February 5, 2024

@VolvoGirl is correct.  

 

  • Once you meet the income threshold for Social Security it starts to be taxed.
  • Incidentally, 50% of your Social Security is included in the  threshold amount.
  • Once you have to pay on your Social Security, it accumulates very quickly.  
  • You pay on the income you received, PLUS pay on at least 50% of your Social Security.
  • The threshold amount includes 50% of Social Security plus all other income including tax free investments.

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