My husband is still employed and not receiving SS yet. Our combined income will be about $30K, and we live in Georgia. Will we have to pay taxes on our total income or just on his earned income?
2007-07-23 11:47:07 · 5 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
if the combined income is $30,000 and that includes the ss you will be receiving in 2007 then no your social security is not taxable. I've attached an article about taxability of social security benefits.
2007-07-23 16:18:37 · answer #1 · answered by Anonymous · 0⤊ 0⤋
This is the formula you have to figure:
Income + 1/2(social security benefits)
Your income would be your (or your spouses) wages, interest, dividends, etc., not your SS benefits.
If the formula is more than $32,000 then some of your Social Security benefits will be taxed. If the formula is less than $32,000, then none of your benefits will be taxed.
From your information, it is pretty certain that some of your benefits will be taxed. The amount of SS benefits that may be subject to tax can go as high as 85%.
2007-07-23 15:40:52 · answer #2 · answered by ninasgramma 7 · 0⤊ 0⤋
Social Security benefits may be non-taxable or partially taxable, depending on your total income from other sources. Use the "Social Security Benefits Worksheet" in the Instructions for Form 1040 (PDF), page 28, to calculate your taxable amount. Social Security benefits are reported on Form 1040 Line 20 or Form 1040A Line 14.
2007-07-23 13:05:04 · answer #3 · answered by Tenn Gal 6 · 0⤊ 0⤋
It depends on your total income if you file a joint return - it's possible for up to 85% of social security benefits to be taxable. If the $30K includes your social security, then none of your benefits would be taxed on a joint return. If the $30K is the other income, plus social security, then a small portion of your social security might be taxed.
For 2006, if half of social security benefits plus all other income was over $35,000, then none of social security was taxed. That limit might be higher for 2007, but in any case, if the $30,000 is your total including social security, you'll be well below the limit for having to pay tax on your social security, so will just pay tax on your other income.
2007-07-23 12:07:04 · answer #4 · answered by Judy 7 · 3⤊ 1⤋
The earnings limit before taxes are due on SS for 2007 is $12,960. If your earned income is above that, your SS will be taxed.
2007-07-23 11:59:30 · answer #5 · answered by oakhill 6 · 0⤊ 5⤋