Will we owe taxes?

Forum|Forum|1 year ago
June 26, 2024
1 reply
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My husband and I are both receiving SS benefits and we are both full retirement age. I no longer work however, my husband is continuing to work full time. We are aware that if you are full retirement age you can earn as much as you wish (according to SS) but will we be dinged when it is time to file taxes at the end of the year? Thank you!

Ask the Experts - Retirement II - June 2024

Alicia65

It all depends on how much your husband makes. You are right you can make as much as you want without penalty. But if in your case married filing jointly your additional income cannot exceed $32,000. Your social security begins to be taxed after that threshhold.

Your combined annual income	How much of your Social Security benefit is taxable
$25,000 or less	None
Between $25,000 and $34,000	Up to 50%
More than $34,000	Up to 85%

Is my Social Security income taxable?

Thank you for joining us today!

Alicia65

I apologize I should chart I originally shared was for a single taxpayer. For Married filing jointly:

Calculating your Social Security federal income tax

Your combined annual income	How much of your Social Security benefit is taxable
Married filing jointly
$32,000 or less	None
Between $32,000 and $44,000	Up to 50%
More than $44,000	Up to 85%

greensearoseAuthor

Thank you, Alicia for responding. I think I am still lost though. So my husband was full retirement age in March of this year and started his SS benifits at that time. So we know that he can earn any amount (because he is at full retirement age) and he won't be penalized with Social Security. But he will continue to work at his job until December of this year, 2024. So let's say that he earns $26,000 from the beginning of April to December at his job (or $37,440 from Jan-Dec). When we go to do our taxes at the end of the year, will the IRS tax us for that $26,000 since it is earned income? I hope I haven't confused you more than I have myself! haha Thank you again. Susan