- Annual Gift Exclusion: $13,000
- IRA and Roth IRA Contribution Limits: $5,000 plus another $1,000 for individuals over 50
- 401(k) Contribution Limits: $17,000 plus another $5,500 for individuals over 50
- SEP IRA Contribution Limits: 25% of compensation or maximum of $50,000
- Top Federal Tax Rate: 35% on income over $388,350
- Personal and Dependent Exemption: $3,800
- Standard Deduction: $11,900 (MFJ), $8,700 (HoH) or $5,950 (Single)
- Estate Tax Exclusion: $5,120,000
- Top CA State Tax Rate: 9.3% on income over $1,000,000. Add an extra 1% tax on the excess.
- Long –Term Capital Gains: Maximum 15%
- Social Security:
- Maximum Monthly Benefit: $2,513 if FRA* in 2012
- Retirement earnings exempt amounts:
- $14,640 under FRA
- $38,880 during year reach FRA
- No limit after FRA
- Tax on benefits: Income brackets for 0%, 50% and 85%
Filing Status: Single, Head of Household, Married Filing Separately
| AGI + Provisional Income** |
Percentage |
| Under $25,000 |
0% |
| $25,000-$34,000 |
50% |
| Over $34,000 |
85% |
Filing Status: Married Filing Jointly
| AGI + Provisional Income |
Percentage |
| Under $32,000 |
0% |
| $32,000-$44,000 |
50% |
| Over $44,000 |
85% |
*FRA = Full Retirement Age
** Provisional Income = Tax-exempt interest plus 50% of Social Security Benefit
MAGI cliff brackets for Medicare part B & D Annual Premiums (Supplemental Insurance & prescription Drugs).
| Tier |
Single |
MFJ |
Part B |
Part D |
Total |
| 1 |
less than or equal to $85,000 |
less than or equal to $85,000 |
$0 |
$0 |
$0 |
| 2 |
less than or equal to $107,000 |
less than or equal to $214,000 |
$546 |
$139 |
$685 |
| 3 |
less than or equal to $160,000 |
less than or equal to $320,000 |
$1,366 |
$358 |
$1,751 |
| 4 |
less than or equal to $213,000 |
less than or equal to $428,000 |
$2,185 |
$577 |
$2,768 |
| 5 |
greater than or equal to $213,001 |
greater than or equal to $428,001 |
$3,245 |
$796 |
$4,041 |