The taxation threshold for Social Security benefits, set at $25,000 for single filers since 1984, means an average retiree receiving $2,081 monthly benefits only needs an additional $12,514 in outside income to trigger federal taxes on their Social Security. This threshold, along with the second tier threshold of $34,000 (set in 1993) where up to 85% of benefits become taxable, has never been adjusted for inflation. This policy increasingly impacts ordinary retirees as benefits and prices rise, with even federally tax-exempt municipal bond interest counting towards the provisional income calculation that determines taxability.