At first thought, I was pretty happy about the idea of getting the largest Social Security COLA (cost of living adjustment) increase in decades, whether it is 6.0%, 6.1%, or 6.2%! It seems no matter what that final number is going to be, it will be a big increase. Let’s face it: even with all of the financial pressures and problems we have been dealing with for the past year and a half, the cost of living for Social Security recipients is always a topic of drama and concern. If you aren’t one of “us” now, you will be one day and then you will be much more sensitive to it, I assure you.
But what about your income taxes on Social Security income? If you receive Social Security, will your taxes spike because you just got a big COLA increase in 2022?Continue reading“Will Your Taxes on Social Security Income Spike When You Get Your Next COLA Increase?”