Is Social Security Really Tax-Free Now? How the $6,000 Senior Deduction Works
If you are 65 or older, a new federal deduction worth up to $6,000 per person, or up to $12,000 for a qualifying married couple, is available right now and is scheduled to expire after 2028. It can lower the tax you owe on your income overall, including the taxable portion of your Social Security. It also phases out as income rises, which means ordinary retirement decisions, an IRA withdrawal, a Roth conversion, the sale of a stock, can quietly change how much of it you keep.