What amount of Connie's Social Security benefits is taxable if her combined income doesn't exceed the threshold?

When determining the taxability of Social Security benefits, it's crucial to consider the concept of combined income, which is calculated by adding together a taxpayer's adjusted gross income, non-taxable interest, and half of their Social Security benefits. If a taxpayer's combined income falls below certain thresholds, a portion of their Social Security benefits may be tax-exempt.

In the scenario where Connie's combined income does not exceed the established threshold, it indicates that she is likely within the income limit set by the IRS. As a result, none of her Social Security benefits is taxable, leading to the conclusion that the correct answer is $0. This aligns with IRS guidelines, which specify that if combined income is low enough, beneficiaries do not have to pay federal income tax on their Social Security payouts. This understanding is essential for individuals like Connie, who want to make informed decisions regarding their finances and tax obligations.