Why Are Social Security Benefits Taxable?
Whether you realize it or not, Social Security truly is an incredible program. Each month, it's doling out almost 64 million benefit checks that are ultimately being leaned on by more than 15 million retired workers to pull themselves out of poverty. These monthly payouts also go to the survivors of deceased workers and the long-term disabled, many of which might struggle to make ends meet without this guaranteed financial lifeline.
But what you might be surprised to learn as a retired worker, or perhaps a future retiree, is that your Social Security benefit may be taxable. Why, you ask? That's not a simple answer, so let's dig into some of the history behind why the tax on benefits was introduced, as well as discuss why (unfortunately) it's not going away anytime soon.
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Source Fool.com
