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Anne
Anne, Master Tax Preparer
Category: Tax
Satisfied Customers: 2365
Experience:  Enrolled Agent with 25 Years Experience specializing Individual and Small Businesses
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My husband and I are retiring within 3 years. Our income

Customer Question

My husband and I are retiring within 3 years. Our income will be $58,800/year in social security benefits + approximately $37,000 in 401b funds (not yet taxed). We will be living in Florida. There are no other sources of income. How much will we be paying in taxes of that $95,800 as a retired couple.
Submitted: 9 months ago.
Category: Tax
Expert:  Bill replied 9 months ago.
If you will both be over age 65, then your federal income taxes will be approximately $9,855 (assuming you claim the standard deduction and don't itemize deductions). If you will be under age 65, then the taxes will be approximately $375 more than that amount.
Expert:  Anne replied 9 months ago.
HiI'm Anne. I've been preparing taxes for 28 years and I have a different answer for you. The income from the 403B is of course, fully taxable as you indicated. Added to that $ amount, roughly 1/2 of your Social Security benefits will also be taxable, bringing your Adjusted Gross Income to 62040.00 Assuming you are both at least 65 years young, your tax liability should be pretty close to $5100. To calculate how much of your Social Security Benefits may be taxable, please see below:https://www.irs.gov/uac/Newsroom/Are-Your-Social-Security-Benefits-Taxable If this answer has been helpful, please take the moment to rate positive by clicking on the stars.It is ONLY through positive ratings that we are compensated for our time and knowledge. Thank you for choosing justanswer.
Expert:  Anne replied 9 months ago.
Hi, this is Anne I was just checking back to see if you had any further questions, concerns? If not, please take the moment to rate positive so that I may receive credit for working with you.