Many retirees are surprised to learn that Social Security benefits can be taxable, depending on your total income.
How it is calculated
The IRS looks at your combined income, adjusted gross income, nontaxable interest, and half of your benefit, to determine how much is taxable.
The thresholds
Depending on your combined income and filing status, up to 50% or 85% of your benefit may be subject to federal tax.
Some states also tax Social Security benefits, while others do not.