2019 Social Security and Medicare changes
Despite all the talk about lower income taxes as Americans work on their 2018 tax returns in the coming months, Social Security benefits are still taxed the same way, based on combined income, which includes a taxpayer's adjusted gross income, plus tax-exempt interest and half of their Social Security benefits.
Individuals whose combined income is between $25,000 and $34,000 pay income taxes on up to half of their benefits. Once their combined income tops $34,000, they pay income taxes on up to 85% of their benefits. Married couples with combined incomes between $32,000 and $44,000 pay taxes on up to 50% of their Social Security benefits. Once their income tops $44,000, they pay taxes on up to 85% of their benefits.