How do you figure out the Social Security Benefit Worksheet - Lines 20a and 20b?

Answer 1

Line 20a is the amount shown in Box 5 on the SSA-1099 or RRB-1099 form the Social Security Administration should have mailed to you at the end of January.

Line 20b is calculated based on your total household income and your filing status.

Filing Single

• If your total annual income is less than $25,000, your tax rate for Social Security is 0%. (0)
• If total annual income is $25,000-$34,000, your tax rate for Social Security is 50%. (.5)
• If your total annual income is $34,001 or more, your tax rate is 85% (.85)

Married, Filing Jointly

• If your total annual income is less than $32,000, your tax rate for Social Security is 0%. (0)
• If total annual income is $32,001-$44,000, your tax rate for Social Security is 50%. (.5)
• If your total annual income is $44,001 or more, your tax rate is 85% (.85)

Example:

Suppose Box 5 on SSA-1099 says $14,000 <--write $14,000 on Line 20a

If I am married, filing jointly, and my husband earns $50,000 per year, our total household income would be $64,000. That means the taxable part of my Social Security check is 85%, because our income is above $44,001.

Multiply the $14,000 from Box 5 by .85 (tax rate)

$14,000 x .85 = 11,900 <-- write $11,900 on Line 20b

Summary

Line 20a = $14,000

Line 20b = $11,900