Social Security Connection-February 2009

| February 2009

Q: I retired with a civil service pension, but also qualified for Social Security. When I was doing my taxes last year, I was startled to find out that I was taxed 71 percent on my Social Security income of $377 a month.

Why are people taxed on their Social Security benefits? It doesn’t make sense to me. – M.R., Texas

A: People who file a federal tax return as an “individual” and whose total income is more than $25,000, and couples who file a joint return and have a total combined income that is more than $32,000 have to pay income tax on their Social Security benefits.

For more information and a more detailed explanation, call the Internal Revenue Service (IRS) toll-free at 1 (800) 829-3676 and ask for IRS Publication Number 915.


Q: I retired last May at the age of 65 and began drawing Social Security benefits. Can I still work and make any amount of money without having to pay any back, or do I have to be 70 before I can earn any amount? – E.D., Iowa

Subscribe today

Capper's FarmerWant to rediscover what made grandma’s house the fun place we all remember? Capper’s Farmer — the newly restored publication from the rural know-how experts at — updates the tried-and-true methods your grandparents used for cooking, crafting, gardening and so much more. Subscribe today and discover the joys of homemade living and homesteading insight — with a dash of modern living — that makes up the new Capper’s Farmer.

Save Even More Money with our automatic renewal savings plan!

Pay now with a credit card and take advantage of our automatic renewal savings plan. You save an additional $6 and get 4 issues of Capper's Farmer for only $16.95 (USA only).

Or, Bill Me Later and I'll pay just $22.95 for a one year subscription!

Facebook Pinterest Instagram YouTube Twitter

Free Product Information Classifieds

click me