RETIREES FIRST Act

This bill raises the income threshold at which Social Security benefits become taxable for retirees. It increases the base amount from $32,000 to $34,000 for single filers (and $68,000 for joint filers), with annual inflation adjustments starting in 2026. Retirees with combined income below these new thresholds will no longer have 85% of their Social Security benefits included in taxable income. The bill funds this tax relief by reallocating non-security discretionary spending, excluding security-related appropriations, and requires annual reports on these reallocations. The changes apply to taxable years beginning after December 31, 2025.