# Social Security Tax Threshold Stuck Since 1984

> A $25,000 Social Security tax line unchanged since 1984 could tax your benefits if you have a $12,000 pension.
- Title: Social Security Tax Threshold Stuck Since 1984 · 24/7 Wall St.
- Summary: A $25,000 Social Security tax line unchanged since 1984 could tax your benefits if you have a $12,000 pension.
- Keywords: social security, tax threshold, provisional income, pension, social security benefits, taxable benefits, cost of living adjustment, 24/7 Wall St.
- Source: 24/7 Wall St. — https://247wallst.com/personal-finance/2026/11/07/the-25000-line-that-taxes-social-security-has-not-moved-since-1984-a-2170-check-plus-a-12000-pension-crosses-it
- Author: Maurie Backman
- Published: 2026-11-07T09:53:49+00:00
- Read time: 1 min
- Topics: social security, tax threshold, provisional income, pension, social security benefits, taxable benefits, cost of living adjustment
## Social Security Tax Threshold Stuck Since 1984
Congress set a tax trigger for Social Security benefits when Reagan was president and never adjusted it.
## The $25,000 Provisional Income Threshold
A single tax filer’s provisional income of $25,000 means a portion of Social Security benefits can be taxable.
## Provisional Income Formula
Provisional income is calculated as adjusted gross income, tax-exempt interest income, and 50% of annual Social Security benefits.
## Social Security Benefits Grow Without Inflation Adjustments
Social Security benefits have increased through the years without inflation adjustments to the tax threshold.
## 2026 Cost of Living Adjustment
Social Security benefits receive a 3.6% cost-of-living adjustment in 2026, raising the average monthly benefit to $2,170.
## Pension and Benefits Cross Tax Threshold
A $12,000 pension plus the average 2027 Social Security benefit pushes a single tax filer above the $25,000 provisional income mark.
## Temporary Tax Deduction Expires in 2028
A $6,000 deduction that exempts Social Security benefits from taxes expires in 2028.
## Key takeaway

Social Security benefits may become taxable for retirees with a $12,000 pension and $2,170 monthly Social Security checks.