2020 Year-End Tax Guide

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AMT EXEMPTION AMT EXEMPTION 2020 PHASE-OUT THRESHOLDS Married Filing Jointly $113,400 $1,036,800 Married Filing Separately $56,700 $518,400 Single $72,900 $518,400 Estates And Trust $25,400 $84,800

2021 PHASE-OUT THRESHOLDS $114,600 $1,047,200 $57,300 $523,600 $73,600 $523,600 $25,700 $85,650

Note: As Adjusted Gross Income (AGI) increases over a certain threshold, the Alternative Minimum Tax (AMT) exemption is phased out. In 2020 the 28% AMT rate applies to excess AMT Income of $197,900 for all taxpayers ($98,950 for married couples filing separate returns). Note: As AGI increases over a certain threshold, the AMT exemption is phased out. In 2021 the 28% AMT rate applies to excess AMT Income of $199,900 for all taxpayers ($99,950 for married couples filing separate returns).

2020 ESTATES AND TRUST INCOME TAX BRACKETS

2020 DOLLAR LIMITS FOR RETIREMENT PLANS PLAN TYPES

OF THE AMOUNT OVER

LIMITS

OVER BUT NOT OVER THE TAX IS

$0

$2,600.00

10%

$0

Defined Contribution Plans

$57,000

$2,600 $9,450 $12,950

$9,450 $12,950

$ 260 + 24% $ 1,904 + 35%

$2,600 $9,450

Defined Benefit Plans

$230,000

Defined Contribution Plans - 401(k), 403(B) and 457 and Thrift Plans under Age 50

$ 3,129 + 37% $12,950

$19,500

2021 ESTATES AND TRUST INCOME TAX BRACKETS

Age 50 and Older

$26,000

Simple Plans: under Age 50

$13,500

OF THE AMOUNT OVER

OVER BUT NOT OVER THE TAX IS

Age 50 and Older

$16,500

$0

$2,650 $9,550 $13,050

10%

$0

Qualified Plans

$285,000

$2,650 $9,550 $13,050

$ 265 + 24% $ 1,868 + 35%

$2,650 $9,550

Traditional IRA AGI Phase-Out (MFJ with participant in employer plan) Traditional IRA AGI Phase-Out (MFJ with spouse in employer plan) Traditional IRA AGI Phase-Out (Single/Head of Household) OTHER THRESHOLDS Simplified Employer Plan Annual Compensation Limit Key Employee in a Top-Heavy Plan Highly Compensated Employee

$104,000

$ 3,146 + 37% $13,050

$196,000

$65,000

2020 LIMITS

$57,000

$185,000 $130,000