As we begin this new year, please keep in mind the various IRS annual limits and any changes to the limits from the previous year. Below we have outlined some of the more common limits for the 2021 tax year.

2021 2020
Standard Deduction
Married Filing Joint             25,100             24,800
Single or Married Filing Single             12,550             12,400
Head of Household             18,800             18,650
Standard Mileage Rates
Business                   0.56                0.575
Medical                   0.16                   0.17
Charitable                   0.14                   0.14
401(k)/403(b) Deferral Limits
Under Age 50             19,500             19,500
Age 50 and Over             26,000             26,000
Traditional IRA Contribution Limits
Under Age 50                6,000                6,000
Age 50 and Over                7,000                7,000
SEP IRA Contribution Limits
Maximum Contribution             58,000             57,000
Maximum Compensation           290,000           285,000
Social Security Wage Base           142,800           137,700
Estate & Gift Tax
Estate & Gift Unified Credit    11,700,000    11,580,000
Gift Tax Annual Exclusion             15,000             15,000

 

 

2021 Federal Tax Rate Schedule
Single Married -Separate Married – Joint Head of Household
10% $0 – $9,950 $0 – $9,950 $0 – $19,900 $0 – $14,200
12% $9,951 – $40,525 $9,951 – $40,525 $19,901 – $81,050 $14,201 – $54,200
22% $40,526 – $86,375 $40,526 – $86,375 $81,051 – $172,750 $54,201 – $86,350
24% $86,376 – $164,925 $86,376 – $164,925 $172,751 – $329,850 $86,351 – $164,900
32% $164,926 – $209,425 $164,926 – $209,425 $329,851 – $418,850 $164,901 – $209,400
35% $209,426 – $523,600 $209,426 – $314,150 $418,851 – $628,300 $209,401 – $523,600
37% Greater than $523,600 Greater than $314,150 Greater than $628,300 Greater than $523,600

 

2021 Federal Long-Term Capital Gain/Qualified Dividend Rate Schedule
0% 15% 20%
Single $0 – $40,400 $40,401 – $445,850 Greater than $445,850
Married -Separate $0 – $40,400 $40,401 – $250,800 Greater than $250,800
Married – Joint $0 – $80,800 $80,801 – $501,600 Greater than $501,600
Head of Household $0 – $54,100 $51,101 – $473,750 Greater than $473,750