Maxing out your retirement account(s) is the first step to limiting your tax liability. Contributions made to 401(k) accounts come out of an employee’s paycheck before taxes are taken out, lowering their taxable income. Similarly traditional IRA contributions are tax deductible and lower a person’s tax liability. In 2022, the[…]
Read More »Individual taxable earnings of up to $168,600 annually will be subject to Social Security tax in 2024, the Social Security Administration (SSA) announced Thursday. The amount, an increase from $160,200 in 2023, is the wage base limit that applies to earnings subject to the 6.2% OASDI tax (old age, survivors,[…]
Read More »401(k), 403(b), Governmental 457(b) plan contribution limits Employee maximum deferral contributions $22,500; Catch-up contribution (if age 50 or older) $7,500 Combined limit for designated Roth account and pretax 401(k), or 403(b) deferral contributions is $22,500 for those younger than 50 and $30,000 for those 50 and older within a particular[…]
Read More »On Friday, December 20, 2019, the President signed the Further Consolidated Appropriations Act, 2020 which addresses several tax provisions such as retirement plan funding and distribution reform, items related to tax extender provisions and disaster tax relief. Some of the highlights include but are not limited to: The start date[…]
Read More »Maximum savings amounts increase for retirement plans in 2019. You can contribute up to $13,000 to a Simple IRA , up to $19,000 to a 401(k) and up to $6,000 to a traditional or Roth IRA. If you are over 50 or will be over 50 by the end of[…]
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