Social Security benefits are handled differently than regular income by the IRS, which can make tax season tricky.

Social Security serves as a key income source for millions of retired Americans, but some might be surprised to learn that their benefits may not be theirs to keep in full. Social Security benefits are taxed at the federal level.

Tax season can be confusing for retired workers and other Social Security recipients. Benefits can be taxed at the federal and state levels, but the taxable portion of Social Security income varies based on income.

Donald Trump's plan to eliminate taxes on Social Security benefits could reshape the financial landscape for many seniors. While the proposal aims to alleviate tax burdens, it raises questions about its broader implications on the Social Security system's sustainability.

Retirement account withdrawals and earnings from a job may not be the only taxable income you have, either. The federal government taxes seniors' Social Security benefits if their income exceeds certain thresholds. If you live in one of the following nine states, you could owe some state Social Security benefit taxes as well.

If you wind up with an outstanding balance, you can either pay the IRS a lump sum or agree to a payment plan that allows you to spread the costs over several months. Keep in mind that even on a payment plan, you'll still face a 0.5% monthly failure-to-pay penalty, up to a maximum of 25% of your outstanding balance.

If you're trying to collect Social Security benefits, it's important to know how your tax debt could impact that.

Ways to avoid paying taxes on Social Security benefits. Before we dive into some ways to potentially reduce your tax burden, it’s good to remember that the portion of your benef

Social Security retirement benefits are subject to taxes in many cases. But familiarity with the rules and some advance planning can limit the impact.

Now that the aging Baby Boomer generation is enrolling in Social Security en masse, the trust is depleting fas