2020 Tax Reference Amounts
Here is a list of the common items that we are asked about the corresponding amounts.
Retirement Accounts
| IRA Contribution Limit (Through Age 49) | $6,000 |
| IRA Contribution Limit (Age 50 and Up) | $7,000 |
| 401(k) Contribution Limit (Through Age 49) | $19,500 |
| 401(k) Contribution Limit (Age 50 and Up) | $26,000 |
The phase-out limits for deducting contributions to a Traditional IRA (based on AGI):
| Filing joint and active participant in employer's retirement plan | $104,000 - $124,000 |
| Filing single or head-of-household and active participant in employer's retirement plan | $65,000 - $75,000 |
| Married but filing separate and active participant in employer's retirement plan | $0 - $10,000 |
| Not active participant in employer's retirement plan but spouse is an active participant (filing joint) | $196,000 - $206,000 |
There are different phase-outs for who can contribute to a Roth IRA (based on AGI):
| Filing joint | $196,000 - $206,000 |
| Filing single or head-of-household | $124,000 - $139,000 |
| Married but filing separate | $0 - $10,000 |
Social Security
Amounts related to withholding or credits:
| Income subject to OASDI (SS updated this) | $137,700 |
| Income subject to Medicare | No limit |
| OASDI to be paid by employee | $8,606.25 |
| Amount to earn 1 credit (self-employed) | $1,410 |
Maximum earnings and still receive full Social Security benefits:
| Under full retirement age (prior years) Social Security benefit reduced $1 for every $2 over limit. | $18,240/yr $1,520/mo |
| Year of full retirement (only months prior to reaching full retirement age) Social Security benefit reduced $1 for every $3 over limit. | $48,600/yr $4,050/mo |
| Full retirement age | No limit |
Medicare
| Standard Part B Premium (ignoring hold-harmless provision) | $144.60 |
| Maximum 2018 income for standard Part B premium (Single) | $87,000 |
| Maximum 2018 income for standard Part B premium (Joint) | $174,000 |
Health Saving Account (HSA) Limitations
Annual contribution limits:
| Self-only Coverage (Through Age 54) | $3,550 |
| Self-only Coverage (Age 55 and Up) | $4,550 |
| Family Coverage (Through Age 54) | $7,100 |
| Family Coverage (Age 55 and Up) | $8,100 |
Minimum annual policy deductibles:
| Self-only Coverage | $1,400 |
| Family Coverage | $2,800 |
Maximum annual deductible and out-of-pocket expense:
| Self-only Coverage | $6,900 |
| Family Coverage | $13,800 |
Mileage Rates
| Business use | 57.5¢ |
| Portion of business deduction allocated to depreciation | 27.0¢ |
| Medical and Moving | 17.0¢ |
| Charitable (statutory) | 14.0¢ |
Miscellaneous Items
| Maximum annual gift amount | $15,000 |
| Kiddie Tax threshold (oversimplified - no earned income) | $1,100 |