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So, how do I tell what amount of our SS is taxable?

To figure the tax on your benefits, you have to calculate your "provisional income." This is equal to the sum of:
-50% of your Social Security benefits,
-Your tax-exempt interest (muni bonds...you don't pay taxes on the interest, but the interest *can* cause your SS to become taxed),
-Your adjusted gross income (not including some stuff like student loan interest, tuition and fees deduction)

If you're single, none of your Social Security benefits are taxed if your provisional income is less than $25,000. If your provisional income is between $25,000 and $34,000, then up to 50% of your Social Security benefits may be taxable. If your provisional income is more than $34,000, then up to 85% of your benefits are taxed at whatever rate your income puts you into.

For married couples filing jointly, your Social Security benefits are untaxed if your provisional income is less than $32,000. The 50% rate applies if your provisional income is between $32,000 and $44,000. If your provisional income exceeds $44,000, up to 85% of your benefits are taxable.
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