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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Anonymous
What can someone do if their entire identity, birth certificate, social security number, driver’s license, mothers maiden name, address, bank account numbers, savings account numbers, stock account numbers, signature, photo ID, etc was stolen from a government agency because of unsafe handling of clients’ sensitive and complete information was “lost” due to their negligence? Who is responsible when one sees that the said information of the client is now seeing many attempts to take over the victims accounts and the thieves can keep doing it over and over with all the information they have? Does the client, that has been compromised severely, have any recourse? Said client is so traumatized that it is effecting them physically and emotionally.
Evangeline H.
My Social Security benefits are higher than my spouse’s. Should I precede him in death, what is the process for him to receive my higher benefits?
Johnny H.
My name is Johnny junior Herrera and I did not put this in I would like to see how my account has been used without my doing my date of birth is 06 05 1980 I got left money and someone is using my info to get my money left to me
Ann C.
Hi, Johnny. We are sorry to hear that. For your security, we do not have access to private information in this venue. We ask that members in our Blog community work with our offices with specific questions. You can call us at 1-800-772-1213, Monday through Friday, between 8:00 a.m. and 7:00 p.m., for assistance. You can also contact your local Social Security office. We hope this helps.
Ann C.
Hi, Evangeline. Thanks for your question. The amount of his widower’s benefit would be based on several factors, including: your earnings, when you started receiving your benefits, his age, and the amount of his own retirement benefit. We compare his own benefit with his potential survivor benefit. If his survivor benefit would be higher than hisr own current retirement benefit, he would be eligible for survivor benefits. For more information, please visit our Planning For Your Survivors page. We hope this helps.
Donna
What do I do if SNAP benefits is not nearly enough to get us through the month and bills and necessities take all of your check?
Ann C.
Hi, Donna. We are sorry to hear about your situation. You may be eligible to receive social services from the state in which you live. These services include free meals, housekeeping help, transportation, or help with other problems. To get information about services in your area and find out if you qualify, you will need to contact your state or local social services or welfare office. We hope this helps.
Jose E.
i need to have taxes taken out of my social security monthly benefit, how do I do that?
Ann C.
Hi, Jose. 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.
Teresa S.
I would like to have my SS direct deposit starting in May not June to my new account
Susan S.
I need to Apliey for a social security card
Ann C.
Hi, Susan. First, realize that you may not need a replacement card. You will rarely need to show it. Knowing the Social Security number is what is important. To see if you’re eligible to apply for a replacement Social Security card online or to learn more on the process and what documents you will need to get a card please visit our Social Security Number and Card page. We hope this helps.
Sue
Call your local Social Security office & they can make this change over the phone. They only need about 10 days before your next SS payment. They will need your new routing & account number & if it’s a checking or savings account.
(They of course will ask you a number of questions to make sure you are who you say you are)…..
Ann C.
Hi, Theresa. If you are receiving Social Security retirement or disability, you can create a personal my Social Security account to change your direct deposit online. If you are receiving Supplemental Security Income, you should contact your local Social Security office immediately. We hope this helps.
Anthony K.
How do I start having tax taken from my social security?
Jennifer S.
There’s a form you can file. You get it from irs.gov. It’s a W4-V. Then turn it in to SSA.
Ann C.
Hi, Anthony. 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 information is helpful.
Gayle P.
The SSA deducts $170.00 from my social security check for Medicare Medical Insurance. How do I obtain a 1095 form for my taxes?
Gayle P.
The SSA deducts $170.00 from my social security check for Medicare Medical Insurance. How do I obtain a 1095 form for my taxes?
Ann C.
Hi, Gayle. For more information about the Qualifying Health Coverage Notice and IRS Form 1095-B, please visit Medicare’s website. Thanks!
Diana J.
Where/How can I change my federal income tax withholdings?
Renee S.
Fill out the “Voluntary Withholding Request” form.
Ann C.
Hi, Diana. Thanks for your question. In order to have taxes withheld or to change your withholding 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.
Barb B.
What is the income amount you can earn in a year before your social security becomes taxable?
Ann C.
Hi, Barbara. Thanks for visiting our blog. You must pay taxes on your benefits if you file a federal tax return as an “individual” and your “combined income” exceeds $25,000. If you file a joint return, you must pay taxes if you and your spouse have “combined income” of more than $32,000. If you are married and file a separate return, you probably will have to pay taxes on your benefits. For more information, visit our Benefits Planner. For 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 information is helpful.