If I am 81 retired and sell rental property what percent tax will I have to pay and can my pensions be reduced

Question

I received social security and a railroad pension.

Answer 1

Pensions will not be reduced. The capital gain tax rate worksheets will make sure the lowest possible tax is paid. The tax burden will be minimal considering the cash advantage to selling some properties, if there are multiples I would see them in different years as opposed to putting them all up for sale at the same time.

Answer 2

Not enough information to give you even a guess. The percent depends on your total income for the year. Since you're over 65 you get a slightly larger standard deduction than someone under 65 gets.

Depending on your total income, some of your social security (up to 85%) might be taxable.

Answer 3

your tax bracket will depend on how much of a gain you will recognize on the sale. some of your ss benefits may be taxable. but the sale of your property will not reduce your pensions you receive.