In a letter discussing the U.S. Constitution, Benjamin Franklin once wrote, “In this world nothing can be said to be certain, except death and taxes.” For residents of certain states, that sentiment holds true to this day.
According to an article by Kiplinger, while most states have done away with taxing Social Security income, eight states continue to tax retirement benefits. They are Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah, and Vermont.
Additionally, the federal government can tax up to 85 percent of your Social Security benefits. Fortunately, according to a different article by Kiplinger, most retirees who only have income from Social Security don’t pay income taxes on their benefits at the federal level.
Council of Seniors Wants Senior Life to be Fulfilling
Having the money you need in retirement is key. Here at Council of Seniors, we’re fully committed to getting Congress to pass The SAVE Benefits Act. This legislation is critical because the annual Social Security cost-of-living adjustment (COLA) has been inadequate in recent years. Once it passes, seniors will be reimbursed for the $581 withheld from them.
Signing our petition is the best way to start helping. Tell others we need them too! Congress has ignored the growing number of Americans expecting action for way too long.