Tax Season: What To Know If You Get Social Security or Supplemental Security Income
Reading Time: 4 MinutesLast Updated: November 2, 2023
It’s tax season once again. It’s important to read this blog even if your earnings or benefits don’t require you to file a federal tax return. You may be entitled to special tax credits that can mean extra cash to help you with expenses. These tax credits are available even if you receive Supplemental Security Income (SSI) and don’t normally file a tax return.
The Child Tax Credit
What is the Child Tax Credit (CTC)?
The CTC is a tax benefit, expanded in March 2021, that helps families who are raising children. You can claim the CTC for any qualifying child even if you don’t usually file a federal tax return. You can get up to $3,600 per qualifying child under age 6, and up to $3,000 for each qualifying child age 6 – 17. These ages are determined as of December 31, 2021.
Am I eligible for the CTC if I get Social Security or SSI?
Yes, if you meet the qualifying rules of the CTC. You can claim this credit from the Internal Revenue Service (IRS) based on each of your qualifying children, even if you get Social Security or SSI and don’t normally file a tax return. You also may have received up to half of your credit through advance monthly CTC payments made by the IRS from July to December 2021. For more information about advance monthly CTC payments, you can visit ChildTaxCredit.gov and the IRS 2021 CTC and Advance CTC Payments Frequently Asked Questions.
Will advance monthly CTC payments, or any CTC I claim on my tax return, reduce my Social Security or SSI benefits?
Advance monthly CTC payments, as well as any CTC that you claim on your 2021 tax return, won’t reduce your Social Security benefits.
If you receive SSI, we won’t count the CTC (or any advance monthly payments you might have received during 2021) as income or resources for 12 months after you receive it when considering your eligibility for SSI and monthly SSI payment amount. If you received any advance monthly CTC payments, be aware of when you received them. You can get that information from the IRS Child Tax Credit Update Portal.
How do I claim the CTC?
You can claim the CTC when you file your federal tax return for 2021. You can visit ChildTaxCredit.gov for options to file a federal tax return for free.
What if I have questions about the CTC?
Please visit ChildTaxCredit.gov and read IRS Filing Season 2021 CTC Questions and Answers if you have questions. Social Security can’t answer CTC questions.
The Earned Income Tax Credit
What is the Earned Income Tax Credit (EITC)?
The EITC provides low- to moderate-income workers and families a tax break. If you qualify, you can use the credit to reduce the taxes you owe – and maybe increase your refund. The EITC amount you might get generally depends on your earned income and the number of your qualifying children.
Am I eligible for the EITC if I get Social Security or SSI?
Yes, if you meet the qualifying rules of the EITC. Receiving Social Security or SSI doesn’t affect your eligibility for the EITC.
Do my Social Security Disability Insurance (SSDI) or SSI payments count as earned income for the EITC?
Learn if your disability payments count as earned income for the EITC at the IRS’ Disability and the Earned Income Tax Credit webpage.
How do I claim the EITC?
To claim the EITC, you must qualify and file a federal tax return. You can visit ChildTaxCredit.gov for options to file a federal tax return for free.
What if I have questions about the EITC?
Learn more about the EITC, including basic qualifications, at the IRS’ Earned Income Tax Credit webpage. Social Security can’t answer EITC questions.
Your Annual Social Security Benefit Statement
What is the Benefit Statement and what do I do with it?
Your Benefit Statement is a tax form from Social Security that shows the total amount of Social Security benefits you received in the previous year. It’s also referred to as an SSA-1099. Noncitizens who live outside of the United States receive the SSA-1042S instead of the SSA-1099. You should report the amount of Social Security income you received to the IRS on your federal tax return.
The Benefit Statement isn’t available for people who only receive SSI payments because SSI payments aren’t taxed.
How do I get my annual benefit statement?
If you receive Social Security benefits, we mailed your Benefit Statement to your address on file with us. If you didn’t receive it, or if lost, you can get your SSA-1099 or SSA-1042S instantly online with a my Social Security account.
Remember to Check your Earnings History
If you don’t receive Social Security benefits, this is a great time to review your earnings history by looking at your Social Security Statement (Statement). It’s important because your future Social Security benefits will be based on your earnings history we received from the IRS. Underreported earnings will mean lower monthly benefit payments when you are ready to start receiving them.
Use your Statement to review your earnings history and to see personalized benefit estimates so you can plan for your future.
Tax season doesn’t have to be a stressful time of year. And for many people, it’s an opportunity to claim additional money. Thanks to the American Rescue Plan, more Americans can claim larger Child Tax Credits and Earned Income Tax Credits for 2021.
Please share this blog with family and friends and remember that Social Security is here to help secure your today and tomorrow.
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Tags: General Information, my Social Security, my Social Security account, Social Security benefits
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Darlynda Bogle, Acting Deputy Commissioner for Communications
Darlynda Bogle, Acting Deputy Commissioner for Communications
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Tony D.
How do i have federal taxes taken from my social security check
A.C.
Hi, Tony. Thanks for your question. In order to have taxes withheld from your Social Security benefit, you must start by printing, completing and submitting an IRS Voluntary Withholding Request Form (Form W-4V). On this form, you can choose to have 7, 10, 12, or 22 percent of your monthly benefit withheld. The Form W-4V (to withhold federal taxes from your Social Security benefits) can be returned to your local Social Security office by mail. See our Benefits Planner: Withholding Income Tax From Your Social Security Benefits web page for more information. We hope this helps.
Augustyn
I see earnings on my account for 2021,I am collecting ss benefits ,will I receive soon recalculation on my benefits
A.C.
Hi, Augustyn. Great question! Each year we review the records for all Social Security recipients who work and will refigure your benefit, if applicable. Check out our publication, How Work Affects Your Benefits, for more information. Thanks.
Jan
in July 2021 I stopped working, from 2019, i.e. at the age of 66, I have a question when my earnings will be added and my retirement pension will be recalculated, the previous 2 years of work were recalculated from the next year … now I do not see it on my account yet.
A.C.
Hi, Jan. Each year we review the records for all working Social Security recipients to see if additional earnings may increase monthly benefits. If your earnings for the prior year are higher than one of the years we used to compute your retirement benefit, we will recalculate your benefit amount. Generally, we will send a letter explaining any increase in your benefit amount. Check out our publication, How Work Affects Your Benefits, for more infomation. Please call our toll-free number at 1-800-772-1213, Monday through Friday, from 8:00 a.m. to 7:00 p.m. or contact your local office directly for any additional questions. We hope this helps.
Theresa D.
Are spousal veteran’s benefits taxable….heard they weren’t – live in FL
A.C.
Hi, Theresa. For any income tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this helps.
Terrie S.
I have recently been diagnosed with cervical cancer and also have diabetes, anemia and bipolar two and depression. Do I qualify for social security if I haven’t worked since 2015?
A.C.
Hi, Terrie. We are sorry to hear about your condition. Disability benefits are paid to people who are unable to work because of a medical condition that is expected to last one year or more or end in death.
For adults, we use a five-step evaluation process to decide whether you are disabled. We consider any current work activity you are doing, your medical condition, and how it affects your ability to work. If you think you are disabled, you can file for disability. Please visit our Disability Benefits page to learn more and to apply online. We hope this helps.
Rosa
Vivo fuera de USA. Y no puedo crear una cuenta de “My Social Security” de que como me comunico con ustedes.
A.C.
Hi, Rosa. For information in Spanish, please visit us at http://www.segurosocial.gov, http://www.facebook.com/segurosocial, or http://www.twitter/segurosocial. For Social Security information in other languages, please visit us at http://www.socialsecurity.gov/multilanguage. Thanks!
Becky T.
How do I get in touch with the SS office since Covid to add plan B to my Medicare My husband has retired and we don’t have any insurance now. All I have had is plan A because I had insurance under his company.
A.C.
Hi, Becky. If you enrolled in Medicare Part A and would like to enroll in Part B under the Special Enrollment Period (SEP), you can apply online at Apply for Medicare Part B Online during a Special Enrollment Period. You can upload your application and documents that verify your group health plan coverage through your husband’s employer.
You can also fax or mail your completed CMS-40B, Application for Enrollment in Medicare – Part B (Medical Insurance) and the CMS-L564, Request for Employment Information enrollment forms and evidence of employment to your local Social Security office. For more infomation visit our Conducting Business With Social Security During the Pandemic page and look for the Can I Enroll For Medicare section. If you have additional questions, please contact us at 1-800-772-1213 (TTY 1-800-325-0778). We hope this helps.
Jasmine R.
What can u do if ur spouse/husband doesn’t have a social security card and you’re trying to file your taxes
A.C.
Hi, Jasmine. For any income tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this helps.
Mary C.
I’m confused regarding the word “benefit.’ I receive SSI. Is that a benefit? Are there other benefits for SSI? I’m new to all this, sigh…….
Elkhalafy
How can I get SSN I am outside USA But I have a Case number for my new address in the United state .
A.C.
Hi, Elkhalafy. Since you are living outside of the U.S., please contact your local Federal Benefits Unit for any assistance related to Social Security benefits. Also, our Office of International Operations home page provides more information to assist our customers living abroad. We hope this helps.
Linn H.
My mother passed away and her last benefit was returned from the bank to ssa. i completed the underpayment form and was paid the last check. i received a 1099—is this taxable income to me?
A.C.
Hi, Linn. We are sorry to hear about your loss. For any income tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this helps.