| Maximum Salary Deferrals: | $20,500 for 401(k), 403(b), 501(c), 457 plans; / $14,000 for SIMPLE 'catch-up'contribution limits for age 50+: (additional $6,500 / $3,000 for SIMPLE) $2,850 for Health FSA |
| Self-Employed: | SEP-IRA: $61,000, with limitation of 20% adjusted net s/e income |
| Traditional IRA Contributions Limit: | $6,000 (up to amount of earned income for the year)
additional catch-up $1,000 for age 50+ |
Traditional IRA Deduction MAGI Phaseout: (when also eligible to contribute to a retirement plan at work) |
MFJ, QW: $109,000-$129,000 S, HH: $68,000-$78,000 MFS: 0-$10,000 (living apart all year, see S) MFJ taxpayer when only other spouse covered by a plan: $204,000-$214,000 |
Roth IRA Contributions MAGI Phaseout: |
MFJ: $204,000-$214,000 S, HH: $129,000-$144,000 MFS: 0-$10,000 (living apart all year, see S) |
Retirement Savings Credit ('Saver's Credit') Maximum AGI Limit: |
MFJ: $68,000 HH: $51,000 S, QW, MFS: $34,000 |
| Social Security: |
Before retirement age, can earn up to $19,560 without repaying benefits. Benefits reduced $1 for each $2 earned over limit Preceding months in year of reaching retirement age: $51,960. Benefits reduced $1 for each $3 earned over limit On/after retirement month, no limit. Maximum monthly benefits for 2022: $4,194 Earnings subject to SS tax: Employee: $147,000 (maximum $9,114 w/h) Household help: cash wages over $2,600 |
| Health Savings Account: | Maximum HSA contribution $3,650 individual coverage / $7,300 family coverage.
additional catch-up $1,000 for age 55+ |
| Child Tax Credit: | $2,000 per qualifying child under 18 with phaseout starting at AGI level of 400K MFJ, 200K others. $500 credit for other dependents. (TCJA and American Rescue Plan) |
| Child Care Expenses/Credit: | Allowed expenses for credit revert to prior levels of 3K one child / 6K two or more. Dependent care benefits set-aside 5K Maximum credit $1,050 (one child) / $2,100 (two or more children) |
| Educational Credit: (MFS ineligible) | American Opportunity Credit (aka Hope Credit): 100% of first $2,000, 25% of next $2,000 tuition (all 4 years college) Lifetime Learning Credit: 20% of up to $10,000 tuition (any year college+) For both credits, MAGI phaseout: $80-90K (individual); $160-180K (MFJ) |
| Student Loan Interest: (MFS ineligible) | Up to $2,500 MAGI phaseout: $70,000-$85,000 (individual); $145,000-$175,000 (MFJ) |
Earned Income Credit: (MFS ineligible) |
Maximum Earned income/MAGI limit: $16,480 (no children), $43,492 (one child), $49,399 (two children), $53,057 (three children) limits increase by $6,130 if MFJ Maximum credit will range from $560 for no children up to $6,935 for three or more children. (disqualified if investment income over $10,300, any filing status) |
| Adoption Credit: | Up to $14,890 (phaseout $223,410-$263,410) |
| 'Kiddie Tax' | Child under 18/full-time student under 24, with interest/dividends over $2,300
'Secure Act' reversed TCJA which changed tax rates to parents' marginal rate from trust/estate tax brackets. |
| Standard Mileage Rates: |
Business: Jan-Jun, 58.5¢ Jul-Dec, 62.5¢ (Depreciation adjustment: 26¢) Charity: 14¢ Medical: 18¢ / 22¢ Employee business expenses and nonmilitary moving expenses were eliminated (TCJA). |
| Itemized Deduction phaseout: | This has been eliminated. And with no personal exemptions, that phaseout also eliminated. (TCJA). |
| Section 179 Expense: | total limit for tangible personal property placed in service: $1,080,000 phaseout starts at $2.7M placed in service |
| Depreciation Limit (with/without bonus depreciation): | Passenger auto limit, first year business: $19,200 / $11,200
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| Capital Gain Tax: | Long-term (holding over a year): 0% for taxable income under $41,675K (S,MFS), $55,800K (HH), $83,350K (MFJ, QW) 15% for taxable income under $459,750 (S), $488,500 (HH), $517,200 (MFJ, QW) or $258,600 (MFS) 20% for taxable income over those amounts. |
| Gift Tax Exclusion/ Estate Exclusion: | $16,000 / $12.06M |
| Foreign Income Exclusion: | $112,000 |
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