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Esteemed Contributor
Posts: 7,322
Registered: ‎02-22-2015

Re: The 13 states that tax Social Security Benefits

[ Edited ]

@hckynut  We both live in Nebraska! We have very high taxes (Federal, State, property, vehicle and wheel taxes (unheard elsewhere), food, clothing, you name it . . . we are taxed! But I love living here.

We left after receiving our degrees from UN-L in our 20's and returned in our mid-30's after living in Iowa (which was very like NE), IL, PA, and Ohio. Lincoln was such a delight to return to the great schools, stars, lack of smog and crime, and bid farewell to the traffic of the last three!!

Have never looked back. I'll pay the higher taxes any day for the quality of life here. Heart  

Money screams; wealth whispers.
Honored Contributor
Posts: 17,511
Registered: ‎06-17-2015

Re: The 13 states that tax Social Security Benefits


@northiie57 wrote:

My benefits have never been taxed and I have been here in Vermont for almost 2 years


@northiie57   I think people are getting confused. 

 

SS does not withhold taxes.  Your benefit is paid to you minus Medicare and any other health ins. you pay each month.

 

You are liable if you owe to the Federal on a tax return-meaning you have other income besides the SS.

 

Then your SS tax calculated at a %.

 

I don't live in Vermont so I cannot give you more specifics but you do not see taxes taken out of your check. 

"" Compassion is a verb."-Thich Nhat Hanh
Honored Contributor
Posts: 10,168
Registered: ‎03-14-2010

Re: The 13 states that tax Social Security Benefits

[ Edited ]

Texas is one of a few states with no state income tax. When we lived in. New Mexico, we had to pay state income tax and also sales tax on prescriptions and otc medications, and all groceries. I was appalled....that was many years ago, so hopefully they have changed it. I was even charged tax on doctor office visits!

Valued Contributor
Posts: 614
Registered: ‎02-16-2014

Re: The 13 states that tax Social Security Benefits

Social Security will withhold federal taxes but not state tax.  When you sign up you can request that they withhold federal tax, they have choices of 7, 10, 12, or 22 percent to be withheld.  You can change your choice by filling out a form and submitting it.

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libby's folly
Respected Contributor
Posts: 2,245
Registered: ‎04-16-2010

Re: The 13 states that tax Social Security Benefits


@Cakers3 wrote:

@northiie57 wrote:

My benefits have never been taxed and I have been here in Vermont for almost 2 years


@northiie57   I think people are getting confused. 

 

SS does not withhold taxes.  Your benefit is paid to you minus Medicare and any other health ins. you pay each month.

 

You are liable if you owe to the Federal on a tax return-meaning you have other income besides the SS.

 

Then your SS tax calculated at a %.

 

I don't live in Vermont so I cannot give you more specifics but you do not see taxes taken out of your check. 


 

 

Incorrect. Social Security can and does withhold taxes. You can have a percentage taken out of your monthly check.  Social Security takes 15% from my check. They send me a 1099 at the end of the year which has the total amount of income tax they withheld. The 1099 shows the gross amount of money you are "entitled" to receive, which by the way, you don't receive because it is taxed if you earned more than what they "allow."The 1099 specifically shows how much tax was withheld. The mandatory health insurance is automatically deducted but that's a different matter because it isn't tax. 

Honored Contributor
Posts: 17,511
Registered: ‎06-17-2015

Re: The 13 states that tax Social Security Benefits

[ Edited ]

@Silver Lining wrote:

@Cakers3 wrote:

@northiie57 wrote:

My benefits have never been taxed and I have been here in Vermont for almost 2 years


@northiie57   I think people are getting confused. 

 

SS does not withhold taxes.  Your benefit is paid to you minus Medicare and any other health ins. you pay each month.

 

You are liable if you owe to the Federal on a tax return-meaning you have other income besides the SS.

 

Then your SS tax calculated at a %.

 

I don't live in Vermont so I cannot give you more specifics but you do not see taxes taken out of your check. 


 

 

Incorrect. Social Security can and does withhold taxes. You can have a percentage taken out of your monthly check.  Social Security takes 15% from my check. They send me a 1099 at the end of the year which has the total amount of income tax they withheld. The 1099 shows the gross amount of money you are "entitled" to receive, which by the way, you don't receive because it is taxed if you earned more than what they "allow."The 1099 specifically shows how much tax was withheld. The mandatory health insurance is automatically deducted but that's a different matter because it isn't tax. 


@Silver Lining   Right-if you want the taxes deducted. 

 

The confusion here is that this thread, again, is misleading.  The title indicated that these state tax SS benefits as though it is mandatory, and automatically deducted each month.

 

That is why the poster I replied to said she lives in Vermont and never had taxes deducted....she most likely does not have additional income and is not required to file a return.  It appeared she was reading that VT automatically taxes her SS but that was not her situation - and that is the confusion based on how this thread was titled.

 

My reponse was to that poster in particular without getting into all the ins and outs of taxes and SS.

 

And yes, I indicated that Medicare and other ins. is deducted but not taxes.

 

 

"" Compassion is a verb."-Thich Nhat Hanh
Respected Contributor
Posts: 2,245
Registered: ‎04-16-2010

Re: The 13 states that tax Social Security Benefits


@Cakers3 wrote:

@Silver Lining wrote:

@Cakers3 wrote:

@northiie57 wrote:

My benefits have never been taxed and I have been here in Vermont for almost 2 years


@northiie57   I think people are getting confused. 

 

SS does not withhold taxes.  Your benefit is paid to you minus Medicare and any other health ins. you pay each month.

 

You are liable if you owe to the Federal on a tax return-meaning you have other income besides the SS.

 

Then your SS tax calculated at a %.

 

I don't live in Vermont so I cannot give you more specifics but you do not see taxes taken out of your check. 


 

 

Incorrect. Social Security can and does withhold taxes. You can have a percentage taken out of your monthly check.  Social Security takes 15% from my check. They send me a 1099 at the end of the year which has the total amount of income tax they withheld. The 1099 shows the gross amount of money you are "entitled" to receive, which by the way, you don't receive because it is taxed if you earned more than what they "allow."The 1099 specifically shows how much tax was withheld. The mandatory health insurance is automatically deducted but that's a different matter because it isn't tax. 


@Silver Lining   Right-if you want the taxes deducted. 

 

The confusion here is that this thread, again, is misleading.  The title indicated that these state tax SS benefits as though it is mandatory, and automatically deducted each month.

 

That is why the poster I replied to said she lives in Vermont and never had taxes deducted....she most likely does not have additional income and is not required to file a return.  It appeared she was reading that VT automatically taxes her SS but that was not her situation - and that is the confusion based on how this thread was titled.

 

My reponse was to that poster in particular without getting into all the ins and outs of taxes and SS.

 

And yes, I indicated that Medicare and other ins. is deducted but not taxes.

 

 


 

I understand. Believe me, though, I don't "want" my social security taxed.

Esteemed Contributor
Posts: 7,322
Registered: ‎02-22-2015

Re: The 13 states that tax Social Security Benefits

[ Edited ]

Why pay taxes on Social Security throughout the year and let the Government use your money? I've never signed the form for Social Security to deduct taxes from my monthly checks.

I'm happy paying my taxes in lump sum AFTER my accountant and tax preparer have completed my Income Tax Returns (State and Federal) each year.

Even my (Medicare) monthly premium for BC-BS health insurance is deducted from my checking account on the 21st of each month . . . not from my Social Security check. Part D is deducted from my Social Security check, but that's only $20 something. 

It's my money and I'll continue to keep it invested or use it throughout the year.

Money screams; wealth whispers.
Honored Contributor
Posts: 41,253
Registered: ‎03-09-2010

Re: The 13 states that tax Social Security Benefits


@Cakers3 wrote:

@northiie57 wrote:

My benefits have never been taxed and I have been here in Vermont for almost 2 years


@northiie57   I think people are getting confused. 

 

SS does not withhold taxes.  Your benefit is paid to you minus Medicare and any other health ins. you pay each month.

 

You are liable if you owe to the Federal on a tax return-meaning you have other income besides the SS.

 

Then your SS tax calculated at a %.

 

I don't live in Vermont so I cannot give you more specifics but you do not see taxes taken out of your check. 


 

 

my ex gets social security ......his "other health insurance" does not come out of his social security amount and federal taxes ARE withheld from his social security funds along with the medicare payment.

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"The world is a dangerous place, not because of those who do evil, but because of those who look on and do nothing." - Albert Einstein
Honored Contributor
Posts: 17,511
Registered: ‎06-17-2015

Re: The 13 states that tax Social Security Benefits

[ Edited ]

@sunshine45 wrote:

@Cakers3 wrote:

@northiie57 wrote:

My benefits have never been taxed and I have been here in Vermont for almost 2 years


@northiie57   I think people are getting confused. 

 

SS does not withhold taxes.  Your benefit is paid to you minus Medicare and any other health ins. you pay each month.

 

You are liable if you owe to the Federal on a tax return-meaning you have other income besides the SS.

 

Then your SS tax calculated at a %.

 

I don't live in Vermont so I cannot give you more specifics but you do not see taxes taken out of your check. 


 

 

my ex gets social security ......his "other health insurance" does not come out of his social security amount and federal taxes ARE withheld from his social security funds along with the medicare payment.


@sunshine45   The "other health insurance" would be the Medicare deduction and deductions for Advantage Plans. Ours is deducted each month by choice.

 

I'm not going to argue this point; you situation is not the same for everyone.

 

If your husband is having federal taxes withheld, then you have a situation that merits that action.

 

Again, you (generic) do not receive your SS with federal taxes automatically deducted; it is not a blanket situation for everyone.

 

We receive our monthly SS with no taxes deducted.  Period.  We do not file returns with other income.

 

That, for the 3rd time, is the issue with this thread.  It is a misleading title and the poster who lives in VT was looking at this as something that is done automatically.  As a result, she posted she does not have federal taxes deducted.

 

My response was to that particular poster.  Everyone does not have the same situations so your situation has nothing to do with what I posted to her.

 

Again, to that particular poster.  

Again, not to everyone who collects SS benefits.

 

 

 

 

"" Compassion is a verb."-Thich Nhat Hanh