Dec. 25 and 26 Are Critical Dates for Social Security Retirees

Dec. 25 is a big day for most people as they celebrate the Christmas holiday with friends and loved ones. While you may have a lot of items on your to-do list at this festive time of the year, managing your Social Security benefits probably isn't one of those items.

In reality, though, Dec. 25 and Dec. 26 are important days for Social Security retirees, and seniors need to be aware of some key events happening on these days that could impact their finances.

Here's what you need to know if you're collecting Social Security benefits.

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Why Dec. 25 and Dec. 26 are important days for Social Security

Dec. 25 and Dec. 26 are big days for Social Security retirees because those are the dates when important tax forms become available.

Specifically, the SSA-1099 or SSA-1042S will be available online starting on Dec. 25, according to a Social Security spokesperson who provided the date to CNBC. The agency will also begin mailing out physical copies of the forms starting on Dec. 26. All of the 1099s are expected to be delivered by the end of January.

Social Security retirees need to be aware of these dates so they can access their forms online, or check their mailboxes at the relevant time and obtain the information these forms provide. The documents will detail the total amount of the benefits that they received in 2025 that are subject to federal tax.

While retirees receive these forms every year to provide information on their taxable benefits, this year it's especially important for seniors to be aware that the Social Security Administration (SSA) is still sending them out. That's because there may be some confusion over whether Social Security benefits remain taxable in 2025 and beyond.

Taxes on Social Security benefits are still an issue for retirees

If retirees are surprised to discover that they'll be getting forms declaring the amount of their benefits subject to federal tax, their confusion is understandable.

President Donald Trump promised to eliminate taxes on Social Security benefits as a key campaign promise, and the White House released an official statement indicating that it had delivered on this promise.

However, the White House did deliver tax savings to seniors, but in reality, it did not actually change any of the rules related to the taxation of Social Security benefits. Benefits are still taxed under the same rules put in place in the 1980s and 1990s, with retirees owing tax on a portion of their benefits once provisional income hits $25,000 for single tax filers and $32,000 for married joint filers.

Provisional income is half of all Social Security benefits plus some limited non-taxable income, like MUNI bond interest, and all taxable income. These provisional income thresholds are fairly low as they are not indexed to inflation, so close to half of all seniors end up with some of their benefits taxed.

Seniors do get a new addition to the standard deduction, with a $6,000 per person tax deduction effective in 2025 through 2028. The full deduction is available to married joint filers with incomes up to $150,000 and single tax filers with incomes up to $75,000.

This will reduce or even eliminate federal income taxes for some seniors, especially when combined with a higher standard deduction that was increased to $15,750 for single filers and $31,500 for married couples who file jointly in 2025, and to $16,100 for single filers and $32,200 for married taxpayers in 2026.

But the fact remains that many seniors will still get 1099 forms detailing the amount of their benefits subject to taxation, so they still need these forms to do their taxes in the upcoming filing year. Retirees need to be aware that they can access this form starting Dec. 25 and should watch the mail after Dec. 26 so they ensure they have the information they need to comply with their continuing obligations to the IRS.

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