POLITICS

Will taxes on Social Security end with 'Big Beautiful Bill?' See what's in it for seniors

Margie Cullen Kinsey Crowley
USA TODAY NETWORK - New England
  • The House passed the One Big Beautiful Bill Act Thursday.
  • The bill does not eliminate taxes on Social Security benefits, but it does provide other tax relief for seniors.
  • In Rhode Island, over 230,000 people receive social security benefits, according to December 2023 Social Security Administration data.

President Donald Trump’s “One Big Beautiful Bill,” passed by the U.S. House early Thursday morning, includes two of his major campaign pledges: to remove taxes on tips and overtime. But will Social Security recipients get the break they've been waiting for?

The One Big Beautiful Bill is a massive proposed tax and spending package loaded with initiatives that align with Trump’s agenda. As it’s currently written, the bill includes major changes to Medicaid, food stamps, border security, taxes and more that have the potential to affect millions of Americans. 

Trump also proposed eliminating taxes on Social Security benefits. In Rhode Island, over 230,000 people receive social security benefits, according to December 2023 Social Security Administration data. 

Did no taxes on Social Security make it into the 1,116-page bill?

Is no tax on Social Security part of the Big Beautiful Bill?

No.

Social Security programs cannot be changed through this budget reconciliation process, according to The Hill.

According to the SSA, recipients will pay federal income taxes on their benefits if their combined income (50% of their benefit amount plus any other earned income) exceeds $25,000/year filing individually or $32,000/year filing jointly.

Big Beautiful Bill includes other tax deduction for seniors

Instead of no tax on social security, the bill includes other tax relief for seniors.

Under the bill, people over age 65 could deduct an additional $4,000 from their taxes if they make less than $75,000 or $150,000 filing jointly. People who make more than that are eligible for smaller deductions as their income increases. The deduction would last through 2028.

Contributing: Riley Beggin