| Maximum Salary Deferrals: | $22,500 for 401(k), 403(b), 501(c), 457 plans; / $15,500 for SIMPLE 'catch-up'contribution limits for age 50+: (additional $7,500 / $3,500 for SIMPLE) $3.050 for Health FSA |
| Self-Employed: | SEP-IRA: $66,000, with limitation of 20% adjusted net s/e income |
| Traditional IRA Contributions Limit: | $6,500 (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: $116,000-$136,000 S, HH: $73,000-$83,000 MFS: 0-$10,000 (living apart all year, see S) MFJ taxpayer when only other spouse covered by a plan: $218,000-$228,000 |
Roth IRA Contributions MAGI Phaseout: |
MFJ, QW: $218,000-$228,000 S, HH: $138,000-$153,000 MFS: 0-$10,000 (living apart all year, see S) |
Retirement Savings Credit ('Saver's Credit') Maximum AGI Limit: |
MFJ: $73,000 HH: $54,750 S, QW, MFS: $36,500 |
| Social Security: |
Before retirement age, can earn up to $21,240 without repaying benefits. Benefits reduced $1 for each $2 earned over limit Preceding months in year of reaching retirement age: $56,520. Benefits reduced $1 for each $3 earned over limit On/after retirement month, no limit. Maximum monthly benefits for 2023: $3,627 Earnings subject to SS tax: Employee: $160,200 (maximum $9,932.40 w/h) Household help: cash wages over $2,600 |
| Health Savings Account: | Maximum HSA contribution $3,850 individual coverage / $7,750 family coverage.
additional catch-up $1,000 for age 55+ |
| Child Tax Credit: | $2,00 per child under age 17, with up to $1600 potentially refundable. with phaseout starting at a higher AGI level of 400K MFJ, 200K others. $500 credit for other dependents. (TCJA and American Rescue Plan) |
| Child and Dependent Care Expenses/Credit: | Allowed expenses for credit of 3K one child / 6K two or more. Dependent care benefits set-aside 5K Maximum credit $600 (one child) / $1200 (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) MAGI phaseout: $80,000-$90,000 (individual); $160,000-$180,000 (MFJ) Lifetime Learning Credit: 20% of up to $10,000 tuition (any year college+) MAGI phaseout: $80,000-$90,000 (individual); $160,000-$180,000 (MFJ) |
| Student Loan Interest: (MFS ineligible) | Up to $2,500 MAGI phaseout: $75,000-$90,000 (individual); $155,000-$185,000 (MFJ) |
Earned Income Credit: (MFS ineligible) |
Maximum Earned income/MAGI limit: $17,640 (no children), $46,560 (one child), $52,918 (two children), $56,838 (three children) limits increased by $6,570 (no children) or 6,560 (w/children) if MFJ Maximum credit will range from $600 for no children up to $7,430 for three or more children. (disqualified if investment income over $11,000, any filing status) |
| Adoption Credit: | Up to $15,950 nonrefundable credit (MAGI phaseout $239,230-$279,230) |
| 'Kiddie Tax' | Child under 18/full-time student under 24, with interest/dividends over $2,500
That portion in excess of $2,500 is taxed at the parents' marginal (top) rate. |
| Standard Mileage Rates: |
Business: 65.5¢ (Depreciation adjustment: 28¢) Charity: 14¢ Medical: 22¢ |
| 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: $1,160,000 phaseout starts at $2.89M placed in service |
| Depreciation Limit (with/without bonus depreciation): | Passenger auto limit, first year business: $20,200 / $12,200
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| Capital Gain Tax: | Long-term (holding over a year): 0% for taxable income up to $44,625K (S,MFS), $59,750K (HH), $89,250K (MFJ, QW) 15% for next range of taxable income to $492,300 (S), $523,050 (HH), $553,850 (MFJ, QW) or $276,900 (MFS) 20% for taxable income over those amounts. |
| Gift Tax Exclusion/ Estate Exclusion: | $17,000 / $12.92M |
| Foreign Income Exclusion: | $120,000 |
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