How is foreign social security classified for California tax purposes?

Foreign social security is classified as ordinary income for California tax purposes. This classification aligns with the treatment of income that individuals earn from regular work, investments, or other earnings, which are generally subject to ordinary income tax rates. California tax law does not provide specific exemptions or unique classifications for foreign social security benefits; therefore, they must be treated similarly to other regular income streams when determining tax liability.

In this context, ordinary income includes wages, salaries, tips, and most types of income derived from services, including social security benefits—whether domestic or foreign. Other types of income, such as capital gains or annuity income, have different tax treatments under California tax law, which do not apply to social security benefits. Understanding this classification helps individuals accurately report their income and compute their tax obligations under California law.