Taxes on SSI...

[confused1]

I am the stupidest person on earth. I have misplaced (or totally lost) the letter affirming my SSI and stating my payment amount. I know what the amounts are, I have just lost the letter. My husband, being a normal and extremely organized person, has made an appointment with an accountant to figure out the tax situation -- TOMORROW!!!!!! style_emoticons/<#EMO_DIR#>/scaredy.gif style_emoticons/<#EMO_DIR#>/scaredy.gif

Do any of you know if you have to have the letter in hand to figure out tax situations? Do any of you know how much of disability payments is taxed? Is it the same as regular income?

Any information would be helpful. In the meantime I'm suffering one of a million slow deaths I've suffered through my lifetime, facing a deadline and knowing I will never come up with the right piece of paper in time. style_emoticons/<#EMO_DIR#>/hide.gif I'm afraid my brain was loopy many years before I got sick! style_emoticons/<#EMO_DIR#>/sorry.gif

Ah well, off to face the music,
Sunny

[alobreto]

If you go to the closest Social Security Office, you should be able to get a printout on the spot with payment amounts and dates for whatever period of time is involved.

The states differ in how they tax disability income and I'm no expert on that.

I don't know what your situation is, but my SSD is taxed the same as earned income. I have a private disability insurer, as well, and that is the reason for that decision.

I believe that if the SSI/SSD is your SOLE source of income for the household, that it is not taxed. I'm not totally sure of that, so I'm glad you have a tax preparer who will obviously know a heck of a lot more about YOUR situation and the IRS policies.

I have 15% of my check deducted each month by SSA and it covers my taxes due pretty closely. I recommend that people with an additional income source do that to avoid having to come up with a hefty payment all at once.

Good luck with your tax preparer!
Angela

style_emoticons/<#EMO_DIR#>/flowers.gif

[Tom]

Sunny,

I would think they have the letter in your file.....

Some people who get Social Security benefits have to pay income taxes on them. This will apply to you only if you have other substantial income in addition to your benefits (for example, wages, self-employment, interest, dividends and other taxable income that you have to report on your tax return). No one pays taxes on more than 85 percent of his or her Social Security benefits and some pay on a smaller amount, based on these IRS rules:

* If you file a federal tax return as an "individual" and your combined income* is between $25,000 and $34,000, you may have to pay income tax on 50 percent of your Social Security benefits. If your combined income is above $34,000, up to 85 percent of your Social Security benefits is subject to income tax.
* If you file a joint return, you may have to pay taxes on 50 percent of your benefits if you and your spouse have a combined income* that is between $32,000 and $44,000. If your combined income is more than $44,000, up to 85 percent of your Social Security benefits is subject to income tax.
* If you are married and file a separate tax return, you probably will pay taxes on your benefits.

*On your 1040 tax return, your "combined income" is the sum of your adjusted gross income, plus nontaxable interest, plus one-half of your Social Security benefits.

Every January you will receive a Social Security Benefit Statement (Form SSA-1099) showing the amount of benefits you received in the previous year. You can use this statement when you complete your federal income tax return to find out if your benefits are subject to tax.

http://ssa-custhelp.ssa.gov/cgi-bin/ssa.cf...li=&p_topview=1 (http://ssa-custhelp.ssa.gov/cgi-bin/ssa.cfg/php/enduser/std_adp.php?p_faqid=493&p_created=975936428&p_sid=mj*hgPUh&p_lva=&p_sp=cF9zcmNoPTEmcF9zb3J0X2J5PSZwX2dyaWRzb3J0PSZwX 3Jvd19jbnQ9MjUmcF9wcm9kcz0mcF9jYXRzPTcsMCZwX3B2PSZ wX2N2PTEuNzsyLnUwJnBfc2VhcmNoX3R5cGU9YW5zd2Vycy5zZ WFyY2hfbmwmcF9wYWdlPTE*&p_li=&p_topview=1)

[rwb200]

If you have been getting the Payments for awhile and have a Bank Statement that shows the deposit iot will be easy enough for them to figure out how much you got.
If you are new on it and do not remember the exact amount or how much you are being paid lump sum for back payments then you will need to get a statement on it.

As far as taxes go my wifes was taxed but it ended up being less then taxes for a job because of some special deductions our state has for disability.

As for Federal I think it worked out a little less then for a job but we still had to pay taxes.
It all depends on other types of income and how much your family has if you are filing jointly.

[confused1]

Thank you!! The information you guys have given me is exactly what I needed. I find over and over that this site is the best source of specialized information around. It's like a living "Lupus Encyclopedia". style_emoticons/<#EMO_DIR#>/biggrin.gif

Thanks again for taking the time to share your expertise and knowledge.

Sunny

[dudley]

Hi Sunny,

Your local office should have a copy of your letter. I would call first before going down incase you need special ID etc. and to make sure they have it. I was taxed on mine because I had with drawn my IRA's for money to live off of. With all my deductions I only had to pay 79 dollars but I am single. They have also changed some laws as what you can receive that does not have to be claimed. Your accountant should be up to speed on this.

Good luck

Elaine

[flowergarden]

Sunny, you mean that I'm not the only one who can't find papers????? I can't find ANYTHING anymore! style_emoticons/<#EMO_DIR#>/blink.gif