Quote:
Originally Posted by UntilTheNDofTimE
I was searching for this online and just couldn't find an answer.
In general when you're retired and receiving a monthly pension check what taxes are you liable for? I would assume you still pay federal and state taxes (if your income is high enough to make these applicable). What about social security and the Medicare tax? If anyone is in CA do you continue to pay 1% for the CA State Disability Insurance (SDI) program? Retirement is a few decades away from me but I'm always planning ahead.
Thanks
|
The SDI's website at
Overview - State Disability Insurance states that "The SDI program is state-mandated and funded through employee
payroll deductions."
So if you not on a payroll anymore, then it's not deducted anymore. Same with Fed & St income tax withholding, and SS & Medicare (FICA) payroll deductions
FYI, in some cases, if your pension, SS, IRA withdrawal, etc retirement "income" is high enough, you may need to do
voluntary Fed (and/or State) income tax withholding to avoid penalties.
Of course, all that is "as of now". If retirement is "decades away",
stay tuned for further bulletins