QUESTION: I am 66 years old and ready to retire. I am trying to put together a monthly budget for my retirement and wondered if my Social Security benefits would be taxable?ANSWER: You would have to pay taxes on some of your benefits if you file a federal tax return as an "individual," and your total adjusted gross income is more than $25,000, or you file a joint return, and you and your spouse have a total adjusted gross income above $32,000.About one-third of all people who receive Social Security benefits have to pay taxes on their benefits. If you think you would have to pay Federal income taxes on your Social Security benefits, you should know that you can have federal taxes withheld from your benefit payments. You can get a Form W-4V from the Internal Revenue Service by calling the toll-free telephone number, 800-829-3676, or by visiting www.socialsecurity.gov on the Internet. After completing and signing the form, return it to your local Social Security office either by mail or in person.

QUESTION: My mother-in-law will be moving in with us for awhile. She gets Supplemental Security Income (SSI) benefits. Since her SSI payments are deposited directly to her bank account, does she need to report the move to Social Security?ANSWER: Yes. People who get SSI need to report any change in living arrangements within 10 days. If your mother-in-law does not report the change in time, she could end up receiving an incorrect payment and have to pay that money back. Also, she needs to report her new address to Social Security so that she can continue to receive mail from Social Security when necessary. To report the change, she can visit her local Social Security office or call Social Security's toll-free number, 800-772-1213.

QUESTION: I'm 67 years old and I have no other income but my monthly Supplemental Security Income (SSI) payments. My sister passed away and left me a little money in her bank account. Will this extra money affect my SSI benefits? Will my SSI payments stop?ANSWER: The money inherited from your sister is considered income in the month you received it and could make you ineligible for benefits for that month, depending on the amount. If you still have the money in the next month, it then becomes a part of your resources, or the things that you own. You cannot have more than $2,000 in resources and still continue to receive SSI. If the things you own are worth less than $2,000, then your benefits will continue. Also, you should remember that there are some resources we don't count, such as a car, the home you live in and funds set aside for burial expenses. You should call Social Security at 800-772-1213, or visit your local Social Security office, to report the inheritance. A Social Security representative can give you more information and will let you know what effect, if any, the inheritance will have on your benefits.

QUESTION: I get Social Security disability benefits and will be 62 years old this year. Will my Social Security benefits change when I reach retirement age?ANSWER: Yes and no. When you "retire" from disability benefits, so to speak, the amount of your monthly Social Security benefit will not change. It will, however, be changed from disability to retirement benefits in our records. But this doesn't happen until you reach full retirement age.

QUESTION: I recently applied for Social Security disability benefits. If I'm approved, when can I expect my payments to start?ANSWER: If Social Security determines that you are disabled and eligible to receive Social Security disability benefits, your monthly payments will begin the sixth full month of your disability. For more information about Social Security disability benefits, see Social Security's online publication, Disability Benefits, at www.socialsecurity.gov/pubs/10029.html.

QUESTION: I retired a couple of years ago. My youngest son had received Social Security benefits based on my work record until he graduated high school last spring. Since he will be attending college this fall, will his Social Security benefits resume, as long as he's a full-time student?ANSWER: No. Normally, a child's benefit stops when he or she reaches age 18, unless the child is disabled. If the child is still a full-time student in secondary or elementary school at age 18, benefits can continue until he or she graduates or reaches age 19, whichever comes first.

QUESTION: My Social Security Statement says my full-retirement age is 66 years. But my wife's full-retirement age is 66 years and 2 months. I thought that everyone could retire at 65. Why are the retirement ages now so different?ANSWER: For many years, full retirement age for workers was 65. The 1983 Social Security Amendments included a provision for raising the full retirement age, beginning with people born in 1938 or later.In 2005, for example, full retirement age is 65 years and 6 months. Full retirement age will continue to increase gradually until it reaches 67 for people born after 1959.But no matter what your full retirement age is, you still will be able to retire as early as age 62 if you have earned enough Social Security credits, although your monthly benefits will be permanently reduced if you retire early. You can find a more complete explanation of retirement age changes at www.socialsecurity.gov/r&m1.htm.This column was prepared by the Social Security Administration. For fast answers to specific Social Security questions, contact Social Security toll-free at 800-772-1213.