When the tax returns are completed for the year, don’t just put them in the file drawer and forget about them. Use the data provided to make some good decisions about 2020 withholding and saving patterns. This is a good time for you to review a recent paystub from 2020. With tax return results in hand, you can estimate whether you need to adjust your W-4 to change federal withholding, either reducing large refunds or withholding a bit more each pay period to better cover 2020 taxation. Your CPA can assist with this evaluation. Lastly, refer to your paystub to ensure you are taking full advantage of deferrals to retirement plans, using the table below to view the annual maximums allowable. Your plan administrator allows you to adjust deferral percentages throughout the year.
I would hazard a guess that for many of us, answering the phone has become an exercise in frustration. If you are like me, regardless of the efforts I have taken to place my number on the DoNotCall registry and to use my caller id to prescreen before answering, I am still bombarded with scam calls each and every day. What makes it worse is that the robo-callers and scammers are now using a technique called “spoofing” where they can disguise their identity on caller id and make it appear that a legitimate business is calling. This spoofing technique has resulted in innocent individuals picking up the phone believing that the IRS or Social Security is calling and ultimately being strong-armed into releasing personal information to the callers. A recent article by the Federal Communications Commission (FCC) discusses this issue and provides the following tips to avoid becoming the victim of a call scam: Don’t answer calls from numbers you don’t recognize. If the caller is not who you were expecting, hang up immediately. Never give out personal information such Read on! →
The IRS and Social Security Administration have announced the limits for benefits and contributions for 2019. Click here to see what’s ahead for the coming year.
Cheryl Sherrard was quoted in a recent Financial Advisor magazine article entitled, “Retiring in Charlotte is all about location, location, location“. The article mentions that Charlotte is ranked near the top of the 50 best metro areas for retirement, according to MagnifyMoney and Bankrate, but the specific area within Charlotte will determine whether you face sticker shock or a pleasant surprise.
As we begin the new year, there are many changes afoot which will impact clients in a variety of ways. The passage of the 2017 Tax Cuts and Jobs Act introduces many changes to personal income taxation beginning with the 2018 tax return filing. The following contains a few of the highlights which will impact your overall taxation going forward. 2017 Individual Income Tax Rates 2018 Individual Income Tax Rates Married Filing Jointly and Surviving Spouses: Married Filing Jointly and Surviving Spouses: 10% (Taxable income not over $18,650) 10% (Taxable income not over $19,050) 15% (Over $18,650 but not over $75,900) 12% (Over $19,050 but not over $77,400) 25% (Over $75,900 but not over $153,100) 22% (Over $77,400 but not over $165,000) 28% (Over $153,100 but not over $233,350) 24% (Over 165,000 but not over $315,000) 33% (Over $233,350 but not over $416,700) 32% (Over 315,000 but not over $400,000) 35% (Over $416,700 but not over 470,700) 35% (Over $400,000 but not over 600,000) 39.6% (over $470,700) 37% (over $600,000) Single Individuals: Single Individuals: 10% (Taxable income not Read on! →