Is there a different tax rate for retired individuals?

Retirees receiving Social Security may have to pay taxes on some of that income, and those taxes do not differ from the standard income tax rates, according to the Social Security Administration. However, the amount of taxable Social Security income is less than the full benefit amount.

A maximum of 85 percent of Social Security income is taxable, notes the Social Security Administration, but most retirees are not taxed on this amount. For example, retirees filing as single with an adjusted gross income of less than $25,000 are not taxed on Social Security benefits, and those with a gross income up to $34,000 are taxed on only 50 percent of benefits.