Social Security is an important source of income for millions of retired seniors. But it’s not a given that you’ll get to keep your benefits in full. Not only can Social Security be taxable at the federal level,

Many retirees are surprised to discover that their Social Security benefits may be subject to federal taxes. This taxation is determined by a formula from the Internal Revenue Service (IRS) known as "combined income" or "provisional income.

The majority of Social Security recipients do not pay state taxes on their retirement income. As it stands, only nine states still tax Social Security benefits: Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah, Vermont and West Virginia, the last of which is phasing out taxing Social Security income in 2026.