As the year is coming to an end, we have put together the 2018 Year-End Tax Planning Guide to help you plan for your upcoming tax filing. Please contact us if you have any questions or concerns.
TAX TIPS FOR THE SELF-EMPLOYED
- Establish a Simplified Employee Pension (SEP) Plan by the due date of your 2018 return, including extensions. The contribution to the plan must be made by that due date. For 2018, the maximum allowable contribution to a SEP an employee can make independently of an employer is $5,500 ($6,500 if a catch-up contribution). However, the maximum combined deduction for an active participant’s elective deferrals and other SEP contributions is $55,000 for 2018.
2018 FEDERAL INCOME TAX RATES
|Tax Rate||Joint/Surviving Spouse||Single||Head of
|Married Filing Separately||Estate & Trusts|
|10%||$0 – $19,050||$0 – $9,525||$0 – $13,600||$0 – $9,525||$0 – $2,550|
|12%||$19,050 – $77,400||$9,525 – $38,700||$13,600 – $51,800||$9,525 – $38,700||–|
|22%||$77,400 – $165,000||$38,700 – $82,500||$51,800 – $82,500||$38,700 – $82,500||–|
|24%||$165,000 – $315,000||$82,500 – $157,500||$82,500 – $157,500||$82,500 – $157,500||$2,550 – $9,150|
|32%||$315,000 – $400,000||$157,500 – $200,000||$157,500 – $200,000||$157,500 – $200,000||–|
|35%||$400,000 – $600,000||$200,000 – $500,000||$200,000 – $500,000||$200,000 – $300,000||$9,150 – $12,500|
|37%||Over $600,000||Over $500,000||Over $500,000||Over $300,000||Over $12,500|
Like an annual physical examination is important for maintaining good health, an annual financial examination that includes year-end tax planning can enhance your financial well-being. We are here to assist you to achieve your tax and financial objectives. Contact us today.
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I came to BSB initially for corporate tax help. That was 10 years ago. I am using BSB more now than ever. As my company evolved, BSB was able to grow right along side of it. Tom Crutchfield at BSB, has been very knowledgable and great resource for Consequent Solutions for tax, accounting, and auditing related services.Government Contractor
As an owner of a rapidly growing small business, we needed an experienced bookkeeping & business advisory partner to keep up with all of the changes my organization was going through. We found that partner in Burdette, Smith & Bish. They are an integrated part of our team and an invaluable resource for us as we go through our growth phase.Michael Delpierre Conversion Pipeline