2 Reasons to Sell Highly Appreciated Assets Before Year End
If you own highly appreciated assets you’ve held long term, it may make sense to recognize gains now rather than risk paying tax at a higher rate next year: 1. The 15% long-term capital gains rate is scheduled to return to 20%. 2. Higher-income taxpayers will be subject to a new 3.8% Medicare tax on some or [...]
Group-Term Life Insurance
Many employers offer company-paid group-term life insurance to team members. There are no tax consequences if the total amount of such policies does not exceed $50,000. However, coverage in excess of $50,000 must be included in income, using the IRS premium table. The calculated amount is then subject to Social Security and Medicare taxes. Figure [...]
Medical Fringe Benefits
PARTNERSHIPS: • Partnership payments made for health insurance premiums and or qualified long-term care insurance payments for the partner, spouse and dependents must be treated as guaranteed payments to be deductible. • The partners must render services in their capacity of partners and payments must be made without regard to partnership income. This creates a [...]
Things You Should Know About Social Security
As it stands now, Social Security will be bankrupt in 2033 In 2025, there will be two people working for everyone receiving Social Security You can get your statement online at http://www.ssa.gov/mystatement/ Know what you want to have happen before you file for Social Security–“do- overs” are tough, and after 1 [...]
Married Filing Joint vs. Married Filing Single
This topic takes a new twist as the Supreme Court reviews Windsor v. US (110 AFTR 2d 2012-6370). In this case, the 2nd Circuit struck down the Defense of Marriage Act section that defines the term marriage as “a legal union between one man and one woman as husband and wife” and spouse as “a [...]
