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when can you gross up social security income

When can you gross up Social Security income? If the income shows on your 1040's as taxable income can you gross up 125% to qualify?

Niicss's picture
Niicss | Joined: October 3, 2005 11:54 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi kathielight

As far as I know, the percentage for gross up varies. In case of a FHA loan, it is 115% and in case of conventional loans it is 125%. The reason for the gross up is that SSI , as far as I know, is not a taxable income. Thus the lenders are looking at the income from a pre-tax basis.

Thanks.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 01:25 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

CAN YOU GROSS UP MILITARY RETIREMENT AND OR DISABLITY. WHAT IS THE GROSS UP36%?

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gmakerley's picture
gmakerley | Joined: November 9, 2007 07:36 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

taxable social security income would not be grossed up in any situation.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 01:25 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Which amount do I gross up on Social Security income. Gross or Net?

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 01:25 | Post subject:

adonis's picture
adonis | Joined: October 22, 2005 05:04 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Welcome SusieAnn,

As far as I know, the gross income will be taken into consideration.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 01:25 | Post subject:

jveenstra's picture
jveenstra | Joined: November 10, 2008 09:03 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

You can gross up income that is not taxed
If you have net income, that is the net after taxes and can not be grossed up.
You can not gross up the gross income if any portion of it was taxed.

Even if social security is taxed, at worst case the taxable portion is about 85% of the gross. So, one should be able to gross up 15% to 100% of social security income.

Like | Dislike | Share | Posted: Fri, 02/05/2016 - 01:25 | Post subject:

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