[Raindropvampire]

Do you have to file taxes on it? What about the back pay? Getting toward the end of the year and I want my hubby to start saving something back if he needs to pay anything.

I don't think it's a stupid question. Hope this helps
Are Social Security Disability Benefits Taxable? | Disability Secrets
... maybe look at the link for state taxes too.

[Raindropvampire]

Unfortunately my work filter says that site isn't allowed but I will check it out tomorrow at the library. Thanks George. For some reason here at work all they allow are health websites. If they knew this place had a game forum and an arcade they'd flip lol.

[Perna]

SSDI is taxable, SSI is not: Regular & Disability Benefits

[jesusplay]

it's very unlikely, unless you were making serious money while working.

From the link I posted:

Question:

If I am awarded Social Security disability benefits, will I have to pay taxes on the money I get? What about on the backpay I should receive for the monthly benefits I miss while my application is being processed?



Answer:

For the majority of people, Social Security Disability benefits are not taxable. This is true for people who have income in addition to disability benefits as well as those who do not. (Most of the one-third of disability recipients who do pay taxes on benefits receive SSDI benefits, not SSI. SSI recipients rarely have to pay taxes, because if they had enough income to be taxed, they wouldn't qualify for SSI.)
If you or your spouse have another source of substantial income, it's likely your SSDI benefits could be taxed by the federal government. Here's how it works. If you file your taxes as an individual, and your income is more than $25,000 per year but less than $34,000, you would have to pay taxes on about half the value of your benefits. If you are married and you file jointly, you can have a combined income of up to $32,000 before having to pay taxes on half your benefits.
If you are single and you make more than $34,000 (or married and make more than $44,000), 85% of your benefits could be taxed.
If your disability benefits are subject to taxation because your income is above these limits, your disability benefits would be taxed at your marginal tax rate. In other words, you would not pay taxes of 50% or 85% of your benefits, you would probably pay taxes of about 10-15% on 50%-85% of your benefits. Higher income people might pay taxes of 33-35% on 85% of their benefits.
As to state taxes, most states don't tax disability benefits at all, but a few states tax them in the same way as the federal government, and still other states have their own way of applying state taxes to disability benefits. For more information, see our article on which states tax disability benefits.
If you receive a lump-sum payment for retroactive benefits and/or back payments, you may have to pay taxes on this amount all in one year, and your tax rate might be higher than usual because of receiving the lump sum. But if part of your backpay was for monthly benefits from an earlier tax year, you may be able to apply the income to an earlier year, if it would lower your tax bill. (For the details, read our article on how Social Security disability backpay is taxed.) If this is your situation, you should contact a CPA or an attorney who is familiar with tax law and Social Security Disability, as it's fairly complicated.
by: Beth Laurence, J.D.

[Raindropvampire]

Thank you guys for your help. He's on supplemental income so he should be good.

[Rose76]

I think it is a good idea to always file taxes. Even if you owe nothing, it is a good idea. I say that because sometimes you are entitled to low-income benefits (credits that result in a refund) which you can only get by filing taxes for the year.

I know people who are low income and always file a tax return. They don't have to pay anything, but they do get a refund because they are eligible for some kind of credit. That can apply to federal and state tax returns.

[Raindropvampire]

I'll tell him he may want to file for federal in that case. I know for a fact it doesn't apply to him on state because we don't have kids. Our state only has credits for breeders Pop out a dozen kids you can't afford and you have it made but that's another subject.

[Douglas MacNeill]

Originally Posted by Raindropvampire

Do you have to file taxes on it? What about the back pay? Getting toward the end of the year and I want my hubby to start saving something back if he needs to pay anything.

Not stupid at all; it's too normal, if anything, to worry about whether disability-related benefits are subject to federal and state (or federal and provincial) income tax. It's a fair question, asked by thousands of people all over the world.

[shortandcute]

Originally Posted by Raindropvampire

I'll tell him he may want to file for federal in that case. I know for a fact it doesn't apply to him on state because we don't have kids. Our state only has credits for breeders Pop out a dozen kids you can't afford and you have it made but that's another subject.

"Breeders"? Wow. You make it sound like parents are dogs or something.

[~Christina]

Originally Posted by Raindropvampire

I'll tell him he may want to file for federal in that case. I know for a fact it doesn't apply to him on state because we don't have kids. Our state only has credits for breeders Pop out a dozen kids you can't afford and you have it made but that's another subject.

Thats a pretty insensitive thing to say.

[gloamingone]

Originally Posted by ~Christina

Thats a pretty insensitive thing to say.

Not to mention completely untrue! I have two children, and boy, do I NOT have it made. Except for the fact that they're great kids, of course.

Sent from my iPhone using Tapatalk

[cool09]

SSDI amount you receive is based on your age and work experience. You get a 1099 at the end of the year showing your total SSDI amount and you take your total income (1099 + any other income) divide it in half* I think and if it's less than $25K than you don't have to pay any taxes. I get $1600/mth on SSDI over last 10 years and my total income at the end of the year has always been non-taxable. (I was lucky that I had several years of a half-way decent salary before applying for SSDI which is why I get the SSDI amount that I do.)

*There's a worksheet in 1040 tax form where it shows you how to figure out if you owe tax on your SSDI and I'm pretty sure you divide your total income by 2 and if it's less than $25K you owe no Federal taxes. You could download a IRS 1040 instruction form and find the correct worksheet and you can see how it is calculated.

[cool09]

Form 1040 Taxable Social Security Worksheet. (SSA-1099 is SSDI total at end of the year.)

My worksheet (ie. SSDI only form of income):
1. 19,440
2. 97200
3. 0
4. 0
5. 97200
6. 0
7. Yes, 97200
8. $25000
9. #8 less than #7? NO (ie. SS not taxable)

http://apps.irs.gov/app/vita/content...heet_1040i.pdf

Thanks for the info! I also receive SSDi and was wondering the same things.

[Fresia]

See item 7 on link below:

Are Your Social Security Benefits Taxable?