Most Americans see their pay stubs every two weeks and take note of the chunk Uncle Sam takes out for Social Security each time. Because they have paid in to Social Security with their taxes, the thinking goes, they won’t be taxed yet again if they need to draw benefits from any of the Social Security systems.
Not so.
Well, usually not so. There are some situations in which Social Security benefits are taxable as income. One of the situations in which this is true is with Social Security Disability Insurance (SSDI). These benefits may sometimes be taxable, while SSI (Supplemental Security Income) benefits are never taxable. Continue reading