From Yahoo Finance: 2025-03-31 06:01:00

President Trump’s plan to eliminate federal taxes on Social Security benefits aims to provide tax relief for retirees, but critics argue it could strain the Social Security Trust Fund. The proposal would primarily benefit high-income retirees, with those earning above $25,000 benefiting the most. However, lower-income retirees who already pay no taxes on benefits wouldn’t see a direct gain. The removal of taxes on benefits could deplete the Trust Fund by $50 billion annually, leading to potential benefit cuts in the future. Critics warn that the plan could hurt lower- and middle-income taxpayers and future beneficiaries. Older adults and future retirees are advised to increase retirement savings to secure their financial future amidst potential changes.



Read more at Yahoo Finance: Who Would Benefit the Most from Trump’s Social Security Tax Plan?