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Going into 2024 there are revised tax rates, contribution limits and other numbers to keep in mind as you plan for your financial future.

Here is a description of several limits followed by a downloadable PDF at the bottom.

Federal Income Tax Brackets

Brackets for individuals start at 10% for incomes up to $11,600 and climb to 37% for incomes over $609,350. For married couples filing jointly, the 10% bracket covers incomes up to $23,200, and climbs to 37% for incomes over $731,200.

There are 12%, 22%, 24%, 32% and 35% brackets in between. Just a reminder that these brackets will sunset in 2026 and return to their pre-2018 levels with the exception of the 10% tax bracket.

Standard Deduction

The standard deduction has increased to $29,200 for married couples filing jointly and $14,600 for single filers.

Estates & Trusts Tax Brackets

The tax rates for estates and trusts begin at 10% for incomes up to $3,100 and cap at 37% for incomes over $15,200.

Grantor trusts, however, are reported on the personal income tax return of the individual who is considered the grantor of the trust for income tax purposes at their marginal tax bracket rate.

Long-Term Capital Gains Tax

Capital gains tax rates are based on taxable income, with 0% rate applying to incomes up to $94,050 for married couples and $47,025 for singles. The 15% rate ranges from $94,051 to $583,750 for married couples and $47,026 to $518,900 for single filers. The 20% rate applies for incomes higher than these levels.

Retirement Plan Limits

The contribution limit for 401(k) and 403(b) plans is $23,000, with a catch-up contribution up to $7,500 for individuals aged 50 and above. Certain 403(b) plans provide for additional special catch-up contributions.

IRA and Roth IRA Contributions

IRA and Roth IRA contributions for 2024 are capped at $7,000 for those under age 50, with a catch-up contribution up to $1,000 for those age 50+.

The phaseout ranges for traditional IRA deductibility (if covered by a workplace retirement plan) start at $77,000 and end at $87,000 for single filers and $123,000 to $143,000 for Married Filing Jointly.

For Roth IRA, the phaseout ranges from $230,000 to $240,000 for married couples filing jointly and $146,000 - $161,000 for single filers.

Health Savings Account (HSA)

The HSA contribution limits are $4,150 for individuals and $8,300 for families. The age 55 and over catch-up contribution limit remains at $1,000 for 2024.

Social Security Updates

The Social Security wage base for 2024 is set at $168,600, with a Cost Of Living Adjustment (COLA) of 3.2% down from 2023’s 8.7% adjustment.

Education Tax Credits

The American Opportunity Credit phaseout ranges from $123,000 to $143,000 for married joint filers, and the Lifetime Learning Credit ranges from $160,000 to $180,000.

Alternative Minimum Tax (AMT)

The exemption amount for AMT is $133,300 for married couples filing jointly and $85,700 for single filers. The phaseout thresholds are $1,219,700 for married couples and $952,150 for single filers.

Estate & Gift Tax

The lifetime exemption for estate and gift tax is $13,610,000 for 2024, with a tax rate of 40%. The annual gift tax exclusion has been increased to $18,000.

These revised numbers can greatly affect your retirement planning, investment decisions and tax strategies. Please feel free to reach out to us for more information or personalized advice.

You can download a more in-depth PDF below that details these changes (click on the image to download the full PDF).