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Posts by Tim Wing

Income Tax Brackets and Rates

In 2018, the income limits for all tax brackets and all filers will be adjusted for inflation and will be as follows. The top marginal income tax rate of 37 percent will hit taxpayers with taxable income of $500,000 and higher for single filers and $600,000 and higher for married couples filing jointly.

 

Tax Brackets and Rates, 2018  
Rate Single Married Filing

Joint

Heads of

Households

 
10% $0 $0 $0
12% $9,525 $19,050 $13,600
22% $38,700 $77,400 $51,800
24% $82,500 $165,000 $82,500
32% $157,500 $315,000 $157,500
35% $200,000 $400,000 $200,000
37% $500,000 $600,000 $500,000

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2018 Change for 529 Tuition Accounts

Effective January 1, 2018, expenses covered by 529 accounts have been expanded to include elementary and secondary school tuition, because of the recent tax-reform legislation. You may now use up to $10,000, each calendar year, from your 529 account for K-12 tuition (public, private, or religious). Please note that the money may come from multiple accounts; however, the $10,000 limit is for each beneficiary.

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