Category: Taxes and Retirement

A SIMPLE IRA is a small business IRA-based plan with a simplified method for employers to make direct contributions (via salary reductions) toward their employees' retirement and their own retirement. Employees may choose (not mandatory) to make regular deferred pre-tax salary contributions, while the employer makes matching or non-elective contributions…

See this article for the latest Saver's tax credit details and updated annual thresholds. [Updated with 2012 and 2013 information] Despite tough economic times, you should not lose sight of your longer term retirement savings. This is where the little known IRS recommended savers credit can help you to keep contributing…

I often receive questions regarding 401k retirement plans and contribution limits. So thought I would use this article to answer common questions regarding contributions and associated limits to these widely used employer sponsored retirement plans. Types of 401k Contributions The first thing to understand is that there are two main…

See this article for the latest federal tax filing deadlines. Generally you can paper file your tax return on January 1st of the following year. But if, like most tax payers, you file an electronic return (e-file) you can only submit your return to the IRS in late January, which…

Most people who work or are self-employed are subject to Social Security taxes. This is true, regardless of age. Employers are also subject to Social Security taxes for their employees. If you are self-employed, and your business' net profit is greater than $400, you must also pay Social Security (and Medicare)…

Teachers and other personnel at K-12 schools can take a tax deduction for classroom supplies that they buy out of their own pockets, whether they itemize or not. This deduction amount is adjusted on a semi-regular basis, with the latest amounts shown below. It has been raised for the 2023…

A lot of people look forward to their tax refund at the end of the year. But I know that if I get a big refund, it usually means I haven't kept up with my paycheck withholding. Why should I wait until next year to get my hands on money…

R.I.P Herman Cain There has been a lot of news lately on Republican presidential candidate Herman Cain's 999 plan. As the new darling and front runner for the parties presidential nomination, Cain's tax plan has gone from a joke (e.g. the price of a pizza) to getting some serious, albeit…

See this updated page for the latest 401K, IRA and Roth IRA contribution limits. [Updated with 2012 details] 2012 tax advantaged retirement plan contribution limits have officially been released by the IRS, with slight increases over 2011 limits; due mainly to cost of living adjustments (COLA). Further with increases in…

During the year many people have personal and financial life changing events that can affect how much they have to pay in taxes. But they often forget to adjust their income or paycheck tax withholding to cater for these events. This means they ending up owing taxes and associated penalties…

As part of new regulations under Obama's health care legislation the U.S. Department of the Treasury and the Department of Health and Human Services (HHS) today took the next steps to establish Affordable Insurance Exchanges – one-stop marketplaces where consumers can choose a private health insurance plan that fits their…

Although many large organizations offer retirement savings plans, it is not necessary to be a part of corporate America in order to take advantage of tax-deductible retirement plans for investing in your future. In fact, as a self-employed small business owner or an employee of a small business, you have several options…

Following enactment of the American Tax Relief Act (ATRA) a few years ago, the annual "AMT patch" legislation that Congress had to pass every year to ensure more people were not snagged by the Alternative Minimum tax is now no longer required. Instead the AMT exemption and associated thresholds based…