Are You A Taxpayer? Social Security Income Is Taxable and Get to Know Your Benefits

Getting your personal finances in order might seem like a monumental chore during tax season, especially if you are unsure of the regulations due to the deluge of confusing documents and intricate computations.

According to an article published by USA Today on January 28, 2023, the money you get from the government as Social Security benefits is taxable. Depending on your income and whether you are filing a combined or individual return, you may have to pay a different amount.

Here is a guide to the IRS’s algorithm for calculating the amount of benefits you will owe, to help you through the process.

The Social Security Administration should give you a document in January that will enable you to calculate how much in benefits you received throughout the course of the year.

When you file your federal tax return, you can utilize this Social Security Benefit Statement, or SSA-1099, to determine how much money you owe.

The SSA-1099 should be mailed to you automatically if you get benefits. If you don’t get it, you should be able to print it off online after creating a “my Social Security” account.