Question

Evelene and Arley file MFJ. Evelene received $15,424 and Arley received $27452 in social security. Arley also received $22148 from his pension and $2378 in interest. their combined taxable social security benefits are

Answer 1

Answer) For couples who file a joint return ,benefits will be taxable if the combined income is:

a) between $32000 to $44000 - tax will be up to 50% of benefit

b) more than $44000 - upto 85% of benefits is taxable

Hence in the given case , income of Evelene and Arley will be

$15424 + $27452 + $22148(pension) = $65024

(Interest from pension will not be added to social security benefits)

Hence combined social security benefits are $65024 and they will be charged upto 85% of the benefits.