The Social Security Administration recently disclosed the greatest inflation adjustment for recipients on fixed incomes in a generation. Only a few days later, the tax bracket changes were announced.
In normal times, the percentage of your income that is subject to taxation changes depending on how the brackets adjust to the rate of inflation.
Moreover, the tax bands are rising to make up for the abnormally high inflation that consumers have been experiencing this year. However, there’s still good news in this (at least for some people): if your earnings haven’t increased sufficiently, you could move into a lower tax rate in 2023.
Tax season is a subject that is important to all of us, so we did our research in order to give you all the information you need. Without further ado, here are 5 things to know about taxes and inflation in 2023.
Thank heaven for SS!