Individuals constantly ask during tax season whether their social security benefits will be taxed in 2025. As of 2025, social security benefits are subject to federal income tax. Depending on your combined income and filing status.
Social security benefits remain subject to taxation if they exceed a certain limit. This limit is determined by your combined income, which comprises your adjusted gross income (AGI), nontaxable interest, and half of your social security benefits.
Current 2025 thresholds.
In 2025, below is the threshold for social security taxing.
For single filers:
- Benefits are not taxed when the combined income is below $25,000
- Up to 50% of the income is taxed when the combined income is between $25,000 and $34,000
- Up to 80% of the benefits may be taxable if the combined income is above $34,000.
For Married couples filing jointly:
- Benefits are not taxed when the combined income is below $32,000
- Up to 50% of the income is taxed when the combined income is between $32,000 and $44,000
- Up to 80% of the benefits may be taxable if the combined income is above $44,000
It is important to note that the above thresholds have not been adjusted for inflation since they were established. This potentially subjects more retirees to taxation over time.
States that tax social security benefits
In addition to federal taxes, some states also tax Social Security benefits. In 2025, about 11 states will will impose some form of taxation on social security. They are:
- Colorado: This state taxes social security but allows deductions based on age and income.
- Connecticut: They provide exemptions for lower-income retirees
- Minnesota offers partial exemptions based on varying income levels
- Montana: tax benefits for individuals with higher income
- New Mexico: exempts benefits for individuals earning below certain income thresholds
- Rhode Island: provides exemptions based on income
- Utah offers credit to offset taxes on social security
- Vermont: tax benefits for higher-income residents
- West Virginia is in the process of phasing out taxation on Social Security.
- Kansas
- Missouri
- Nebraska
It is important to visit your state tax agency to confirm if you owe anything. While there have been efforts made by the legislature to eliminate federal taxation of these benefits, none of these measures have been passed into law.
What to do before filing
Check your income totals carefully:
- Use the IRS tool to estimate how much of your benefits are taxable
- Review Form SSA-1099, which lists your total annual benefit
- Compare your numbers to the IRS thresholds based on your filing status
A tax advisor can help build a retirement income plan that minimizes taxation long-term.
