Key Tax Numbers 2018 (red indicates not updated yet from 2016, green indicates updated with projected amounts but not finalized)


Federal Tax Brackets

 

Status Income Min Income Max  Base Amount  Plus of Income over
Single  $                -    $           9,525  $                 -   10.0%  $                 -  
 $           9,525  $         38,700  $          952.50 15.0%  $            9,525
 $         38,700  $         93,700  $       5,328.75 25.0%  $           38,700
 $         93,700  $       195,450  $     19,078.75 28.0%  $           93,700
 $       195,450  $       424,950  $     47,568.75 33.0%  $         195,450
 $       424,950  $       426,700  $    123,303.75 35.0%  $         424,950
 $       426,700  NA   $    123,916.25 39.6%  $         426,700
Head of Household  $                -    $         13,600  $                 -   10.0%  $                 -  
 $         13,600  $         51,850  $       1,360.00 15.0%  $           13,600
 $         51,850  $       133,850  $       7,097.50 25.0%  $           51,850
 $       133,850  $       216,700  $     27,597.50 28.0%  $         133,850
 $       216,700  $       424,950  $     50,795.50 33.0%  $         216,700
 $       424,950  $       453,350  $    119,518.00 35.0%  $         424,950
 $       453,350   NA    $    129,458.00 39.6%  $         453,350
Married Filing Jointly  $                -    $         19,050  $                 -   10.0%  $                 -  
 $         19,050  $         77,400  $       1,905.00 15.0%  $           19,050
 $         77,400  $       156,150  $     10,657.50 25.0%  $           77,400
 $       156,150  $       237,950  $     30,345.00 28.0%  $         156,150
 $       237,950  $       424,950  $     53,249.00 33.0%  $         237,950
 $       424,950  $       480,050  $    114,959.00 35.0%  $         424,950
 $       480,050   NA    $    134,244.00 39.6%  $         480,050

 

Federal Dividend & Long-Term Capital Gain Rules

 

Tax Bracket Div/LTCG Rate
15% or less 0%
25% - 35% 15%
Over 35% 20%

 

Contribution Limits & Credits

 

Type Amount Catchup (over 50) Comment
401k, 403b, eligible 457 salary deferrals  $                 18,500  $                  6,000  
Total Defined Contrib Limit  $                 55,000  $                  6,000  
Defined Contrib Income Limit  $               275,000    
SIMPLE 401k, SIMPLE IRA salary deferrals  $                 12,500  $                  3,000  
Defined Benefit Limit  $               220,000    
IRA (Combination of Deductible, Roth, & Non-Deductible)  $                   5,500  $                  1,000 Deductibiliy, and ability to contribute to a Roth IRA is phased out by AGI (see Phaseouts)
Educational Savings Account Limit (Coverdell)  $                   2,000   Ability to contribute is phased by AGI (see Phaseouts)
Child Tax Credit  $                   1,000   Per Child under age 17.  Phased out by AGI (see Phaseouts)
Child or Dependent Care Credit - one child  $                   3,000    
Child or Dependent Care Credit - more than one child  $                   6,000    
Adoption Credit  $                 13,840   Phased out by AGI (see Phaseouts)
Lifetime Learning Credit Maximum  $                   2,000   Phased out by AGI (see Phaseouts)
American Opportunity Credit Maximum  $                   2,500   Amended by AARTA (2009)Phased out by AGI (see Phaseouts)

 

Phase-Outs

 

Type Status Phaseout Begins Phaseout Ends Comment
Roth IRA Contribution Limits Single  $           120,000  $           135,000  
Married Filing Jointly  $           189,000  $           199,000
Traditional IRA - Qualified Plan Participant - Deductibility Limits Single  $             63,000  $             73,000  
Married Filing Jointly  $           101,000  $           121,000
Deductible IRA - Spouse Qualified Plan Participant Married Filing Jointly  $           189,000  $           199,000  
Eductional Savings Account (Coverdell) Contribution Limits Single  $             95,000  $           110,000 Not indexed for inflation
Married Filing Jointly  $           190,000  $           220,000
Personal Exemption Single  $           266,700  $           389,200 Amended by ATRA (2013). 2% for every $2500 of AGI over threshold
Head of Household  $           293,350  $           415,850
Married Filing Jointly  $           320,000  $           442,500
Itemized Deductions Single  $           266,700  N/A  Amended by ATRA (2013). Deductions reduced by 3% of the amount AGI is over threshold
Head of Household  $           293,350  N/A 
Married Filing Jointly  $           320,000  N/A 
AMT Exemption Single / HoH  $           123,100  $           344,700 Phased out $1 for every $4 of AMTI over threshold.
Married Filing Jointly  $           164,100  $           508,900
Child Tax Credit Single / HoH  $             75,000  $             95,000 Based on MAGI, not AGI (not indexed for inflation)
Married Filing Jointly  $           110,000  $           130,000
Savings Bond Interest Exemption (for edu) Single  $             79,700  $             94,700  
Married Filing Jointly  $           119,550  $           149,550
Student Loan Interest Deduction Single  $             65,000  $             80,000  
Married Filing Jointly  $           135,000  $           165,000
Saver's Credit Single  $             31,500  N/A   
Head of Household  $             47,250  N/A 
Married Filing Jointly  $             63,000  N/A 
American Opportunity Credit Single  $             80,000  $             90,000 Amended by AARTA (2009)
Married Filing Jointly  $           160,000  $           180,000
Adoption Credit All  $           207,580  $           247,580  
Lifetime Learning Credit Single  $             57,000  $             67,000  
Married Filing Jointly  $           114,000  $           134,000

 

Misc

 

Item Status Amount Comment
Personal & Dependent Exemption All  $            4,150  
AMT Exemption Single or HoH  $           55,400 Now permanent and indexed for inflation (ATRA 2013). 
Married Filing Jointly  $           86,200
Standard Deduction Single  $            6,500  
Head of Household  $            9,550
Married Filing Jointly  $           13,000
Add'l SD if Age >=65 or blind Single  $            1,300  
Married Filing Jointly  $            1,600
Social Security Wage Base All  $         128,400  
Kiddie Tax Income Limit All  $            1,050 An unmarried child under age 19 and full-time students under 24 are taxed at 0% on unearned income up to this amount and at the parent’s rate on unearned income exceeding 2x this amount
Nanny Tax Threshold All  $            2,000  
Qualified Transportation Fringe All  $               260 Monthly transportation in a commuter highway vehicle and any transit pass
Student Loan Interest Deduction Maximum All  $            2,500 Phased out by AGI (see Phaseouts)
Annual Gift Tax Exclusion All  $           15,000  
Lifetime Gift / Estate Tax Exemption All  $      5,600,000  
Foreign Earned Income Exclusion All  $         104,100  
Highly Compensated Employee All  $         120,000  
Key Employee All  $         175,000  
Health FSA Max All  $            2,650  
PBGC Max Monthly Pension (age 65) All  $            5,369 Age 65 Stright Life Annuity Amount
Section 179 Max Deduction All  $         520,000 Expensing of business property rather than depreciating it over time.  Phased out $ for $ if property totals >$2.07M. Made permanent by PATH in Dec 2015.
HDHP Min Deductible Single  $            1,350  
Married Filing Jointly  $            2,700
HSA Contribution Limit Single  $            3,450 Add'l $1k catch-up contribution allowed for those over age 54
Married Filing Jointly  $            6,900
Mileage Rate Business  $            0.535  
Med & Move  $            0.170
Charity  $            0.140

 

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