[Jbert]

I was wondering if Disability income is taxable. This income is from social security and not a pension plan or long term payments. And are there any factors that detemine this? Some info that might help. My Wife does not work. And for 2006 I have income with them due to 401K distribution. In 2007 I will only have Disability payments.


Thanks so much


Jim

[AtlantaTaxExpert]

Jim:

Social Security disability is normally not taxable if it is your only source of income.

[Doc_Jim]

I was wondering if Disability income is taxable. this income is from social security and not a pension plan or long term payments. And are there any factors that detemine this? Some info that might help. My Wife does not work. And for 2006 I have income with them due to 401K distribution. In 2007 I will only have Disability payments.


thanks so much


Jim

Social Security Disability Insurance (SSDI) payments are taxable if you are above the taxable income limits for income tax purposes. Normally, SSDI by itself is insufficient to cross that threshold.

[AtlantaTaxExpert]

Doc:

How much do you think SSDI is each month?

[mramirea]

Social Security Disability Insurance (SSDI) payments are taxable if you are above the taxable income limits for income tax purposes. Normally, SSDI by itself is insufficient to cross that threshold.

What are the limits? I have received 5 months of payments, totallin $4500. My husband made $69000 for the year.

Thanks, Mramirea

[AtlantaTaxExpert]

If you file jointly with your husband making $69,000, the SSDI will be subject to income tax.

The threshold is about $27,000 for a married couple.

[MukatA]

If half of social security benefit plus all other income exceeds the base amount, then up to 85% of the benefits may be taxable.

[AtlantaTaxExpert]

MukatA's answer is more prescise than mine.