Whether or not you pay taxes on your Social Security benefits depends on your other income. If Social Security is your only source of income, you likely won't owe any federal income tax. However, if you have other substantial income, such as wages, self-employment income, or investment earnings, a portion of your Social Security benefits may be taxable. The specific amount that's taxable is determined by a complex formula based on your combined income, which includes your adjusted gross income, nontaxable interest, and half of your Social Security benefits. Certain states also tax Social Security benefits, so it's important to check your state's tax laws as well.
