Q: My Wife And I Are Both 74, And Our Total Annual Income Is $24,000 From Social Security Plus Whatever We Withdraw From Our IRA. We Take the Standard Deduction And All Our Expenses And Other Income Is Negligible. How Much Are We Able to Withdraw From Our IRA Without Having to Pay Any Income Tax?

IRA, IRS, Income Taxes, Personal Finance, Social Security, Tax Deductions, Tax Exemptions

A: At least $20,000 can be withdrawn from an IRA without paying any income tax for 2008. For 2008 the standard deduction for a married couple, filing a joint return, both 65 and over, is $13,000. The personal exemption is $3,500 per person, or $7,000 per couple Both of these figures will change for 2009, and the IRS has not released that information yet.

Some Social Security might be taxable, when one half of the Social Security plus the other income equals or exceeds $32,000 for a married couple filing a joint return.

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