topic Re: Social Security question in Community Chat

Social Security question

SharkE — Thu, 19 Jan 2017 19:50:22 GMT

Just got my SS benefit statement today. First time for me since I just now turned 65 in Dec.

It shows the Medicare Part B premium deducted from monthly benefit

They added the premium amount to the overall benefit statement you don't pay taxes on the amount they take out for your Part B do you ? Surely not.

Thanks!

Re: Social Security question

RainCityWoman — Thu, 19 Jan 2017 19:59:38 GMT

You deduct the total from your medical deductions. It's part of your total SS monthly allotment, so I assume you pay tax on any income.

Re: Social Security question

151949 — Thu, 19 Jan 2017 20:00:52 GMT

I believe the first $17000 for an individual or $34000 for a couple of your SS is tax free. That way more than covers your medicare premium payments.

For DH & I this puts us in a low enough catagory that we don't have to pay any federal income tax at all.

Re: Social Security question

SharkE — Thu, 19 Jan 2017 20:06:09 GMT

I can't figure out if there making U pay tax on your medicare Part B premium by adding it to the overall total.

Re: Social Security question

151949 — Thu, 19 Jan 2017 20:06:55 GMT

@RainCityWoman wrote:
You deduct the total from your medical deductions. It's part of your total SS monthly allotment, so I assume you pay tax on any income.

Not everyone has enough medical expenses to deduct them. I also do not think you can deduct insurance costs as a medical expense.

Re: Social Security question

Nuttmeg — Thu, 19 Jan 2017 20:08:29 GMT

@151949 wrote:
I believe the first $17000 for an individual or $34000 for a couple of your SS is tax free. That way more than covers your medicare premium payments.
For DH & I this puts us in a low enough catagory that we don't have to pay any federal income tax at all.

http://www.nolo.com/legal-encyclopedia/taxes-social-security-benefits.html

Re: Social Security question

151949 — Thu, 19 Jan 2017 20:16:41 GMT

Sorry I got the numbers wrong - it is 25,000 single or 32000 couple.

Either way -- it is WAY MORE than your medicare premium.

Re: Social Security question

SharkE — Thu, 19 Jan 2017 20:25:44 GMT

Just called hubbo at work (still working at 67 doesn't draw SS) he said yeah it's all added, but, you can deduct what, if any, you have paid out for Dr. bills which for us is not much because we're both healthy. Plus, we can deduct long term care insurance too. He seemed to think it wasn't a big deal.

I was floored when I saw they consider what your paying them for insurance as added income and tax you in the process. sheesh..............

Re: Social Security question

on the bay — Thu, 19 Jan 2017 20:29:11 GMT

Yes, You can deduct medical premiums as a medical expense. I have every year and I get my taxes done

Re: Social Security question

Kim-QVC — Thu, 19 Jan 2017 20:30:01 GMT

This post has been removed by QVC because it is inappropriate.

Re: Social Security question

151949 — Thu, 19 Jan 2017 20:33:09 GMT

@on the bay wrote:
Yes, You can deduct medical premiums as a medical expense. I have every year and I get my taxes done

Only if they exceed 10% of your adjusted gross income. I don't think medicare part B payments go that high.

Re: Social Security question

on the bay — Thu, 19 Jan 2017 20:36:54 GMT

@151949 wrote:
@on the bay wrote:
Yes, You can deduct medical premiums as a medical expense. I have every year and I get my taxes done
Only if they exceed 10% of your adjusted gross income. I don't think medicare part B payments go that high.

Yes, I was just going to add that-You are right. It takes a lot of medical expenses really to get to 10% and that is the only way you can deduct the medical expenses. Thanks for clarifying that.

Re: Social Security question

RainCityWoman — Fri, 20 Jan 2017 01:37:59 GMT

@151949 wrote:
@RainCityWoman wrote:
You deduct the total from your medical deductions. It's part of your total SS monthly allotment, so I assume you pay tax on any income.
Not everyone has enough medical expenses to deduct them. I also do not think you can deduct insurance costs as a medical expense.

You can deduct all insurance premiums, all out of pocket medical costs that the insurance didn't pay, your parking fees at a medical facility, your fuel cost to get to and from, your dental premiums, plus out of pocket dental, your prescription drug premiums and out of pocket pharmaceuticals. Medical is one of the largest deductions offered on tax returns. Of course, you have to spend enough meet the qualification for I believe a percentage of your total earned wage, etc. At the cost of insurance, many people have no problem meeting that. If you don't believe me, go to Turbo Tax for answers.

Re: Social Security question

RainCityWoman — Fri, 20 Jan 2017 01:34:35 GMT

Nope, none of it is tax free.

Re: Social Security question

PINKdogWOOD — Fri, 20 Jan 2017 13:10:13 GMT

@SharkE I'd give them a call for explanation. Probably best to get your understanding direct from the source. I would do this.

Re: Social Security question

KatieB — Fri, 20 Jan 2017 17:26:33 GMT

@SharkE wrote:
Just got my SS benefit statement today. First time for me since I just now turned 65 in Dec.

It shows the Medicare Part B premium deducted from monthly benefit
They added the premium amount to the overall benefit statement you don't pay taxes on the amount they take out for your Part B do you ? Surely not.

Thanks!

@SharkE

Yes you pay taxes on the amount before anything is deducted. It's just like a payroll check. Your gross wages are before any deductions.

Re: Social Security question

CelticCrafter — Fri, 20 Jan 2017 18:06:30 GMT

@KatieB wrote:
@SharkE wrote:
Just got my SS benefit statement today. First time for me since I just now turned 65 in Dec.

It shows the Medicare Part B premium deducted from monthly benefit
They added the premium amount to the overall benefit statement you don't pay taxes on the amount they take out for your Part B do you ? Surely not.

Thanks!
@SharkE
Yes you pay taxes on the amount before anything is deducted. It's just like a payroll check. Your gross wages are before any deductions.

Actually no, not in all cases.

My daughter has her portion of her premium deducted from her check and it's excluded from taxable wages. The portion her company pays is also not a taxable benefit...

Re: Social Security question

KatieB — Fri, 20 Jan 2017 23:04:11 GMT

@CelticCrafter wrote:
@KatieB wrote:
@SharkE wrote:
Just got my SS benefit statement today. First time for me since I just now turned 65 in Dec.

It shows the Medicare Part B premium deducted from monthly benefit
They added the premium amount to the overall benefit statement you don't pay taxes on the amount they take out for your Part B do you ? Surely not.

Thanks!
@SharkE
Yes you pay taxes on the amount before anything is deducted. It's just like a payroll check. Your gross wages are before any deductions.
Actually no, not in all cases.
My daughter has her portion of her premium deducted from her check and it's excluded from taxable wages. The portion her company pays is also not a taxable benefit...

@CelticCrafter Yes, there are certain deductions that can be taken pre-tax.