Taxes On Postal Disability Retirement

[stevedenesha]

I'm married and also considered totally disabled (SSDI) and also receive Postal Disability Retirement. How is the postal disability taxed. I believe Social Security is taxed 50% anything between 32,000-43,000?

thanx

Steve

[Guest rickb54]

Your postal disability may not be taxed!

I draw civil service disability and do not pay taxes on it.

You may not have to pay taxes on your postal disability, because you have to earn so much before you even have to file. Most ss disability is not taxed and VA disability is not taxed so these will not count toward a taxable income.

I have not filed since 2000......between ss disability, civil service disability, and va disability I don't make enought to file... and I get over 40K a year......

[stevedenesha]

But aren't you being taxed from your Postal Disability Retirement? If you are being taxed as I am, why don't you file taxes to get the taxed money back?

[JR Reihs]

Steve

what he is saying is he does not have enough taxable income to file, your postal is taxable but you may not make enough to file, unless your wife works you need to stop the taxes on it, or look into your options.

I did not file for years , until I remarried, my wife works so it now comes into play but realy helps rather than hinders.

[stevedenesha]

but that is my question - how is Disability Retirement taxed. Only a portion of SSDI is taxed between 32,000-43,00 - 50% and above 43,000 is taxed 85%. In addition to Postal Disability Retirement I have Military Retirement and investment income which puts me in the 85% tax bracket for SSDI, meaning I have to pay tax on 85% of SSDI. I hope there is some kind of scale for Postal Disability Retirement?

[john999]

Disability retirement is taxed as ordinary income. At some point you can get a tax credit for it but that is after you turn 55 I think. Basically, just count on having to pay tax on your OPM.

[stevedenesha]

I actually do turn 55 on Nov 1 - so how much does this help?

Steve