|
 |
| |
|
Income Tax Planning
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2011 Tax Brackets
|
|
2010 Tax Brackets
|
|
|
|
|
|
|
|
|
|
|
|
|
Top of the bracket
|
|
|
Top of the bracket
|
|
Rate
|
Single
|
Joint
|
HOH
|
|
Rate
|
Single
|
Joint
|
HOH
|
|
10%
|
8,500
|
17,000
|
12,150
|
|
10%
|
8,375
|
16,750
|
11,950
|
|
15%
|
34,500
|
69,000
|
46,250
|
|
15%
|
34,000
|
68,000
|
45,550
|
|
25%
|
83,600
|
139,350
|
119,400
|
|
25%
|
82,400
|
137,300
|
117,650
|
|
28%
|
174,400
|
212,300
|
193,350
|
|
28%
|
171,850
|
209,250
|
190,550
|
|
33%
|
379,150
|
379,150
|
370,150
|
|
33%
|
373,650
|
373,650
|
373,650
|
|
35%
|
All income over $379,150
|
|
35%
|
All income over $373,650
|
|
|
|
|
|
|
|
|
|
|
|
Tax rate on capital gains and dividends
|
|
Income subject to FICA
|
|
|
|
|
|
|
|
|
|
|
|
Taxpayers with marginal rate > 15%
|
15%
|
|
2011
|
106,800
|
|
|
|
Taxpayers with marginal rate 15% or less
|
0%
|
|
2010
|
106,800
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Personal exemption
|
|
Standard mileage rates
|
|
|
|
|
|
|
|
|
2011
|
2010
|
|
2010
|
3,650
|
|
|
|
Business
|
|
$0.51
|
$0.500
|
|
2011
|
3,700
|
|
|
|
Medical
|
|
$0.19
|
$0.165
|
|
|
|
|
|
|
Charity
|
|
$0.14
|
$0.140
|
|
Standard Deduction
|
|
|
|
|
|
|
|
|
2011
|
2010
|
|
Section 179 Deduction
|
|
Single
|
|
5,800
|
5,700
|
|
|
|
2011
|
2010
|
|
Married, joint return
|
11,600
|
11,400
|
|
Maximum deduction
|
250,000
|
250,000
|
|
Married, separate return
|
5,800
|
5,700
|
|
Deduction reduced
|
|
|
Head of household
|
8,500
|
8,400
|
|
when eligible additions
|
|
|
Addtl for aged or blind
|
|
|
|
exceed
|
2,000,000
|
2,000,000
|
|
Single or HOH
|
1,450
|
1,400
|
|
|
|
|
|
|
All other
|
|
1,150
|
1,100
|
|
|
|
|
|
|
Estate Planning
|
2009
|
2010 (if the carryover basis rules are not elected)
|
2011-2012
|
|
Annual gift exclusion:
|
$13,000
|
$13,000
|
$13,000
|
|
Estate tax applicable exclusion amount:
|
$3,500,000
|
$5,000,000
|
$5,000,000
|
|
|
|
|
|
|
|
Retirement Planning
|
2011 (no change)
|
2009/2010
|
|
|
|
|
|
|
|
|
|
Employee/individual contribution limits
|
|
|
|
|
|
|
|
|
|
|
|
Elective deferral limits
|
|
|
|
|
|
* 401(k) plans, 403(b) plans, 457(b) plans, and SAR-SEPs1
(Includes Roth 401(k) and Roth 403(b) contributions)
|
Lesser of $16,500 or 100% of participant's compensation
|
Lesser of $16,500 or 100% of participant's compensation
|
|
|
|
* SIMPLE 401(k) plans and SIMPLE IRA plans1
|
Lesser of $11,500 or 100% of participant's compensation
|
Lesser of $11,500 or 100% of participant's compensation
|
|
|
|
|
|
|
|
|
|
IRA contribution limits
|
|
|
|
|
|
* Traditional IRAs or Roth IRAs
|
Lesser of $5,000 or 100% of earned income
|
Lesser of $5,000 or 100% of earned income
|
|
|
|
|
|
|
|
|
|
Additional "catch-up" limits (individuals age 50 or older)
|
|
|
|
|
|
* 401(k) plans, 403(b) plans, 457(b) plans, and SAR-SEPs2
|
$5,500
|
$5,500
|
|
|
|
* SIMPLE 401(k) plans and SIMPLE IRA plans
|
$2,500
|
$2,500
|
|
|
|
* IRAs (traditional and Roth)
|
$1,000
|
$1,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Defined contribution plan limits (qualified plans, 403(b) plans, SEP plans, SIMPLE IRA plans)
|
|
|
|
* Annual addition limit per participant (employer contributions; employee pretax, after-tax, and Roth contributions; and forfeitures; not applicable to SIMPLE IRA plans)
|
Lesser of $49,000 or 100% (25% for SEP) of participant's compensation
|
Lesser of $49,000 or 100% (25% for SEP) of participant's compensation
|
|
|
|
|
|
|
|
|
|
Retirement plan compensation limits
|
|
|
|
|
|
* Maximum compensation per participant that can be used to calculate tax-deductible employer contribution (qualified plans and SEPs)
|
$245,000
|
$245,000
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
