Tax Retirement And Pension Income Practice Test

Quinn (age 64, single, retired) receives $40,000 of pension payments in 2025 from a former employer plan. Quinn did not make any after-tax employee contributions to the plan. How is the pension income reported on the tax return?

Casey (age 67, single, retired) began receiving Social Security benefits in 2025 totaling $24,000. Casey also has $30,000 of other taxable income and $2,000 of tax-exempt interest. What portion of Social Security benefits is taxable for federal income tax purposes?