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reteachinwi

(579 posts)
29. 1983 and 1993 changes to SS
Tue Feb 5, 2013, 10:53 AM
Feb 2013

introduced taxation on benefits that amounts to means testing. So higher income retires are "means tested" through the tax code.

Modified for a taxpayer with combined income exceeding a secondary threshold amount ($34,000 for an individual, $44,000 for a married couple filing a joint return, and zero for a married person filing separately), so that the amount of benefits subject to income tax is increased to the sum of (1) the smaller of (a) $4,500 for an individual, $6,000 for a married couple filing a joint return, or zero for a married person filing separately, or (b) 50% of the benefit, plus (2) 85% of the excess of the taxpayer's combined income over the secondary threshold. However, no more than 85% of the benefit amount is subject to income tax. The additional income tax revenues resulting from the increase in the taxable percentage from 50% to 85% are transferred to the HI Trust Fund. Effective for taxable years beginning after 1993.
http://www.ssa.gov/history/taxationofbenefits.html

Pretty simple really... demwing Feb 2013 #1
You got it. Republicans do not do responsibility. Berlum Feb 2013 #2
Agreed. MyshkinCommaPrince Feb 2013 #31
SS and Medicare are tough av8r1998 Feb 2013 #3
"Get it done, guys" TransitJohn Feb 2013 #4
no av8r1998 Feb 2013 #5
also av8r1998 Feb 2013 #6
For fuck's sake at least try to get the numbers right eridani Feb 2013 #7
LOL av8r1998 Feb 2013 #11
Just to be clear av8r1998 Feb 2013 #16
It doesn't matter whether they need it or not--they PAID INTO IT eridani Feb 2013 #8
Exactly av8r1998 Feb 2013 #12
You can't collect if you are working if you are making that much eridani Feb 2013 #14
And if he's still working, he's still paying FICA on the first $113K n/t eridani Feb 2013 #15
Yes av8r1998 Feb 2013 #17
That's not how it works. You work, and you pay FICA on income up to $113K eridani Feb 2013 #19
No, he isn't av8r1998 Feb 2013 #20
I don't get it. You first complained that he shouldn't be getting the yearly limit payout eridani Feb 2013 #22
Back at you soon... av8r1998 Feb 2013 #24
eridani JustAnotherGen Feb 2013 #27
Agreed 100%. Boomers had FICA doubled in 1983 to prepay our own retirement plus eridani Feb 2013 #35
My thoughts.. av8r1998 Feb 2013 #30
If these folks paid into SS they should be allowed to use it newfie11 Feb 2013 #9
"Their time to use it" av8r1998 Feb 2013 #13
I made nowhere near this but I Am on SS newfie11 Feb 2013 #32
You can't have it both ways av8r1998 Feb 2013 #33
I agree BUT at the same time we need to get even more progressive with our tax CTyankee Feb 2013 #18
You're right but.... av8r1998 Feb 2013 #23
Making people wait longer to collect benefits is already somewhat in place now... CTyankee Feb 2013 #26
1983 and 1993 changes to SS reteachinwi Feb 2013 #29
I graduated from college with a degree in accounting 20 years ago av8r1998 Feb 2013 #34
"Should any political party attempt to abolish social security, unemployment insurance, ..." baldguy Feb 2013 #10
I double dog DARE Joe Scarborough to look straight into the camera and say to CTyankee Feb 2013 #21
they KNOW that people are very fond of ss & medicare. they are political cockroaches. spanone Feb 2013 #25
Because they want Democrats to do the lifting, take the blame, and they want to benefit TheKentuckian Feb 2013 #28
And it is looking like that might happen newfie11 Feb 2013 #36
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