Reading the Warning Signs
You are the person responsible for your retirement, so keep an eye on these important trends: Social Security benefits, tax rates, inflation, and health-care costs.
If you’re working in a nongovernment job, Social Security taxes are withheld from your paycheck. Most government employees pay into a separate government pension instead of Social Security. If you’re self-employed, Social Security taxes are part of your self-employment tax payment.
By 2008 rules, up to 85 percent of a person’s Social Security retirement income benefit may be taxable. Workers pay Social Security tax on their ...