2019 - TAX FACTS

2020 Social Security: 

Maximum Taxable Wages                                     $137,700

Medicare: 

Maximum Taxable Salary:                                    Unlimited

Do I need to file this year?  (Click here for the filing requirements)

https://www.irs.gov/uac/do-i-need-to-file-a-tax-return

Want some help with determining the proper number of exemptions to claim on your W-4 for wage withholding? 

(click the link for the IRS’s withholding calculator or call our office for assistance)

https://www.irs.gov/individuals/irs-withholding-calculator

Prior-year Safe Habor for estimated taxes           110% of prior year tax

of higher-income:                                              

Standard mileage rate for business driving           58 cents / mile

2019

Unearned income maximum for children              $2,100 (threshold, then sliding scale tax rate)

(Kiddie Tax applies 19 years and younger)          

Maximum capital gains tax rate for taxpayers       0% 

in the 10% - 15% bracket

Maximum capital gains tax rate for taxpayers       15-20% 

above the 15% bracket                                      (high income taxpayers)

Capital gains tax rate on collectibles                    28%

2019 Traditional / Roth IRA Contribution limit       $6,000 or

                                                                        $7,000 (age 50+)

Maximum employee contribution to                     SIMPLE IRA 2019 $13,000

                                                                       ($16,000 age 50 or older)

Maximum employee contribution to SEP IRA        25% of compensation

                                                                        up to $56,000 (2019)

401(k) Maximum employee contribtuion limit       $19,000 under 50

(2019)                                                              $25,000 above 50 

Self-employed health insurance deduction            100%

Federal Estate Tax                                              40% on Estate's excess

                                                                        value of $11.4 million ($22.8M married)

Annual Exclusion for Gifts                                   $15,000 per receipient

                                                                        (per year)

IRC Section 121 Capital Gains exclusion on          up to $500,000 for married couples

of primary residence if house was lived in 24       ($250,000 single)

of the 60 months preceding sale date