Social Security taxation confusion - do I still pay Medicare/SS taxes after retirement?

No, you don't pay Social Security and Medicare taxes (FICA taxes) on your Social Security benefits. Those taxes only apply to earned income - wages or self-employment income. The only deductions from your Social Security check will be: 1. Medicare Part B premiums (and Part D if you choose to have that deducted) 2. Federal income tax withholding (if you request it using form W-4V) 3. Any Medicare Income-Related Monthly Adjustment Amount (IRMAA) if your income is above certain thresholds Your benefits may be subject to federal income tax depending on your combined income, but that's handled through your annual tax return, not as FICA taxes.

congrats on hitting ur FRA! im still 8 yrs away lol. my dad said same thing when he started gettin his checks - no more fica taxes on SS benefits. but watch out cuz u might still owe fed income tax if ur total income is high enough. think its like if u make over 25k single or 32k married they start taxin between 50-85% of ur benefits. my dad was surprised by that!

You've gotten good answers already about FICA taxes not applying to your benefits. However, it's worth mentioning that if you continue to work while receiving benefits (even part-time), any earned income from that work will still be subject to Social Security and Medicare taxes, even though your benefit payments aren't. Also, your pension will not have FICA taxes withheld either. Pensions are considered unearned income, just like your Social Security benefits. If you're concerned about managing all these different tax situations, I'd recommend speaking directly with a Social Security representative to review your specific situation and withholding options.

When I started collecting last year I was shocked at how much less I got than expected because of all the deductions! The Medicare part B premium took a big chunk, and since I'm still working part-time I had them withhold federal taxes too. But your actual check will DEFINITELY not have Social Security or Medicare taxes taken out like a paycheck does - that would be paying twice!

Just to clarify what others have shared - here's a simple breakdown: - Social Security benefits: No FICA taxes (Social Security and Medicare taxes), but potentially subject to federal income tax - Pension income: No FICA taxes, but subject to federal income tax - Continued employment income: Still subject to both FICA taxes and income tax For your federal income tax withholding on your Social Security benefits, you can request withholding at 7%, 10%, 12%, or 22% using Form W-4V. There are no other percentage options available.

Congratulations on reaching your FRA! As others have confirmed, you're absolutely right - no FICA taxes on your Social Security benefits. Just wanted to add that if you're still unsure about your withholding amount, you can always change it later using Form W-4V. Many people start conservative with 10% withholding and then adjust based on their first year's tax situation. Also, don't forget to factor in any state taxes if you live in one of the states that taxes Social Security benefits (there are 12 of them). The transition from paycheck to benefits can feel overwhelming with all the tax changes, but you've got this!

Just wanted to add one more thing that might be helpful - when you do start receiving your benefits, keep your first few benefit statements handy. They'll show exactly what's being deducted and help you understand your net payment. I found it really helpful to compare my actual deductions to what I expected based on conversations like this one. Also, if you're planning to work at all after starting benefits (even just occasional consulting or part-time work), remember that earnings test still applies until you reach full retirement age. But the good news is you're hitting FRA soon so that won't be an issue for long! The whole process gets much simpler once you're past FRA.

Welcome to the Social Security club! I just started receiving my benefits 6 months ago and had the exact same confusion. Everyone here has given you excellent advice - no FICA taxes on your SS benefits, which was such a relief after decades of seeing those deductions on every paycheck. One thing I'd add is to set up your my Social Security account online if you haven't already. You can view all your benefit statements, change your withholding elections, and even get your 1099-SSA forms there. It's been a lifesaver for me in managing everything electronically rather than waiting for paper forms in the mail. Also, since you mentioned having trouble getting through to SSA on the phone - try calling right when they open at 8 AM local time. I've had much better luck getting through early in the morning rather than later in the day. Good luck with your first payment next month!

Congratulations on reaching your FRA! The answers you've received are spot on - no FICA taxes on your Social Security benefits, which is definitely one of the silver linings of retirement. I went through this same confusion two years ago and was pleasantly surprised to learn my benefits wouldn't be subject to those payroll taxes. Just a heads up - when you get your first benefit statement, don't be alarmed if the Medicare Part B premium seems higher than you expected. The standard amount for 2025 is around $185/month, but if you have higher income it could be more due to IRMAA surcharges. Also, if you decide to sign up for Medicare Part D prescription coverage later, those premiums can be deducted from your Social Security check too. One last tip: if you're married and your spouse is also collecting benefits, you can each make separate withholding elections. My husband and I have different withholding percentages based on our other retirement income sources. The flexibility is really nice compared to when we were working and had limited control over payroll deductions. Best of luck with your transition to retirement - you've earned it after all those years of contributing to the system!

I'm a few years away from retirement myself but have been following threads like this to prepare. Just wanted to say how helpful it's been to read through everyone's real-world experiences with this transition! One thing I'm curious about - for those of you who chose to have federal taxes withheld from your SS benefits, how do you decide between the different percentage options (7%, 10%, 12%, 22%)? Is it mostly based on your other retirement income, or do you have a different strategy? I'm trying to plan ahead since I'll have a 401k and some rental income when I retire, and I want to avoid both underpaying and overpaying throughout the year. Thanks to everyone who's shared their experiences - it's so much more valuable than trying to navigate the SSA website alone!

This is such great advice from everyone! As someone who's been helping family members navigate Social Security for years, I can confirm everything shared here is accurate. No FICA taxes on your benefits - that's one of the biggest reliefs people discover. Just to add one more practical tip: when you receive your first Social Security payment, take a screenshot or photo of the deposit details from your bank account. Sometimes there are small delays or issues with direct deposit setup, and having that record helps if you need to call SSA about payment timing. Also, your benefits are typically deposited on the 2nd, 3rd, or 4th Wednesday of the month depending on your birth date, so you can plan accordingly. The Medicare Part B premium deduction happens automatically, but if you ever need to change your Medicare plan during open enrollment, remember that any premium changes will be reflected in your next Social Security payment. It all connects together more smoothly than most people expect! Enjoy your well-deserved retirement - you've definitely earned it after contributing to the system for so many years!

As someone who just went through this exact same process 3 months ago, I can totally relate to your confusion! The SSA materials really don't explain this clearly at all. Everyone here has given you perfect advice - no FICA taxes on your Social Security benefits, which was honestly the biggest relief when I finally understood it. One thing I'd add that helped me a lot was calling my local Social Security office directly instead of the national number. The wait times were much shorter (usually under 30 minutes) and they were able to walk me through all my options for withholding. You can find your local office on the SSA website. Also, don't stress too much about getting the withholding percentage perfect right away. I started with 10% and after seeing my first quarterly estimated tax situation, I bumped it up to 12%. The process to change it is really straightforward with Form W-4V. Congratulations on reaching your FRA - it's such a milestone! You're going to do great navigating all of this. The first few months feel overwhelming with all the new paperwork and processes, but it becomes routine pretty quickly.

Wow, reading through this entire thread has been incredibly educational! I'm still about 5 years away from retirement but already starting to worry about all these tax implications. It's such a relief to learn that Social Security benefits aren't subject to FICA taxes - I had always assumed they would be since "nothing in life is free" as my dad used to say! The tip about calling local SSA offices instead of the national number is gold - I'm definitely bookmarking that for when my time comes. And I love how everyone here shares their real experiences rather than just repeating what's on government websites. Quick question for those who've been through this: do you wish you had started planning these tax withholding strategies earlier, or is it something that really can only be figured out once you're actually receiving benefits? I'm trying to decide if I should start talking to a tax professional now or wait until I'm closer to retirement. Thanks to everyone for sharing their knowledge - this community is amazing!

Reading through everyone's experiences here has been so enlightening! I'm about 2 years away from my FRA and honestly had no idea that Social Security benefits weren't subject to FICA taxes. Like many others, I just assumed the government would keep taking those payroll taxes forever! The practical tips everyone has shared are invaluable - especially about calling local SSA offices (who knew that was even possible?), starting with 10% withholding as a safe bet, and being able to adjust it later with Form W-4V. I've been dreading trying to navigate all this bureaucracy, but hearing from people who've actually been through it makes it seem much more manageable. One thing I'm curious about - for those who mentioned having pension income alongside Social Security, how has that affected your overall tax planning? I have a small state pension that will start around the same time as my SS benefits, and I'm wondering if that changes the withholding strategy at all. Thanks to everyone for creating such a helpful resource here. This is exactly the kind of real-world advice you can't find in those confusing SSA pamphlets!

Congratulations on reaching your FRA! This thread has been incredibly helpful - I'm about 3 years out from retirement myself and had the same confusion about FICA taxes on Social Security benefits. It's such a relief to learn definitively that those payroll taxes don't apply to your benefits! I've been bookmarking all the practical tips shared here, especially the advice about starting with 10% federal withholding and adjusting later with Form W-4V. The tip about calling local SSA offices instead of the national hotline is particularly valuable - I had no idea that was even an option. For those planning ahead like me, this conversation really highlights the importance of understanding how all your retirement income sources (SS, pensions, 401k withdrawals) work together from a tax perspective. It seems like you can do general planning early, but the specific withholding decisions really need to be made based on your actual retirement income situation. Ashley, you picked a great community to ask this question in - the real-world experiences shared here are so much more helpful than trying to decode government websites! Best of luck with your first payment next month. After decades of paying into the system, you've definitely earned this transition to the receiving side!

This has been such an incredibly informative thread! I'm about 6 months away from my own FRA and had the exact same confusion about FICA taxes. Reading through everyone's real experiences has been way more helpful than all the SSA pamphlets I've been trying to decipher. The consensus here is crystal clear - no Social Security or Medicare taxes (FICA) on your benefit payments, which is honestly a huge relief after decades of seeing those deductions on every paycheck! The only deductions will be Medicare Part B premiums, any federal tax withholding you choose, and potentially IRMAA if your income is high enough. I love all the practical tips shared here, especially: - Starting with 10% federal withholding as a safe middle ground - Calling local SSA offices instead of the national hotline (game changer!) - Being able to adjust withholding later with Form W-4V - Setting up the online my Social Security account for easier management For those of us with pensions too, it sounds like neither source will have FICA taxes, but both count toward determining if our SS benefits are taxable. The flexibility to adjust withholding after seeing how the first year plays out seems like the smartest approach. Ashley, thanks for asking the question that so many of us needed answered! This community really is amazing for getting real-world advice from people who've actually walked this path. Best of luck with your first payment - you've definitely earned it!

This thread has been absolutely fantastic! As someone who's been lurking in this community for a while but never posted, I finally felt compelled to jump in because this conversation covers so many of the questions I've had about Social Security taxation. The definitive answer about no FICA taxes on benefits is such a relief - I've been worried about this for months as I approach my own retirement planning. It really does seem counterintuitive after paying those taxes on every paycheck for decades, but hearing from so many people who've actually experienced this transition makes it much more believable than just reading it on a government website. I'm particularly grateful for all the practical tips shared here - the local SSA office contact strategy, the 10% withholding starting point, and the flexibility to adjust later with Form W-4V. These are the kinds of real-world insights you just can't get from official publications. Ashley, thank you for asking the question that clearly resonated with so many of us! Your willingness to admit confusion about something this important created space for an incredibly valuable discussion. This community really shines when people share their genuine concerns and others respond with such helpful, detailed experiences. Congratulations on reaching your FRA - what an achievement after all those years of contributing to the system!