Capital Gains Rates—2019 & 2020

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12 months or less: 37% / 37%

More than 12 months: 20% / 20%

Depreciation recapture on real estate: 25% / 25%

Collectibles and certain small bus. stock: 28% / 28%

Qualified Dividend Income

•    Filers in top tax bracket: 20% / 20%
•    Filers in middle tax brackets: 15% / 15%
•    Filers in lowest two tax brackets: 0% /  0%

Medicare surtax on investment income for higher-income filers: 3.8% / 3.8%

MFJ: $24,400 / $24,800

Single: $12,200 / $12,400

Head of Household: $18,350 / $18,650

MFS: $12,200 / $12,400

Additional Blind or Elderly 

• Single: $1,600 / $1,650
• Married: $1,300 / $1,300

Deduction for each taxpayer spouse and dependent: $0/ $0

Type of Plan

IRA's: $6,000 / $6,000

Section 401(k): $19,000 / $19,500

Section 403(b): $19,000 / $19,500

Section 408(p)(2)(E) Simple: $13,000 / $13,500

Section 457(b)(2) limit: $19,000 / $19,500

Section 415 limit for

• Defined contribution plans: $56,000 / $57,000
• Defined benefit plans: $225,000 / $230,000

Highly compensated employees

• Section 414(q): $125,000 / $130,000

Age 50 and over additional contributions

• 401(k) type plans: $6,000 / $6,500
• SIMPLE's: $3,000 / $3,000
• IRA's: $1,000 / $1,000

Use

Business: .58 / .575

Charitable: .14 / .14

Medical and Moving: .20 / .17

All numbers are in cents per mile

Estate tax exemption: $11,400,000 / $11,580,000

Applicable credit amount: N/A / N/A

Top Estate Tax Rate: 40% / 40%

Lifetime gift tax exemption: $11,400,000 / $11,580,000

Annual gift tax exclusion

•  Gifts per person: $15,000 / $15,000
•  Joint gifts by spouse: $30,000 / $30,000

Top gift tax rate: 40% / 40%

FICA taxable wage base

Social security 6.2% for employees and employers: $132,900 / $137,700

Medicare 1.45% for employees and employers: No limit / No limit

Additional Medicare employee portion for employees:  

• Single paid in excess of $200,000: 0.9% / 0.9%
• Married filing joint paid in excess of $250,000: 0.9% / 0.9%
• Married filing separately paid in excess of $125,000: 0.9% / 0.9%

If taxable income is between:

$0 - $19,750: 10%

$19,751- $80,250: 12%

$80,251 - $171,050: 22%

$171,051 - $326,600: 24%

$326,601 - $414,700: 32%

$414,701 - $622,050: 35%

$622,051 and above: 37%

If taxable income is between:

$0 - $9,875: 10%

$9,876 - $40,125:  12%

$40,126 - $85,525: 22%
$85,526 - $163,300: 24%

$163,301 - $207,350: 32% 

$207,351 - $311,025: 35%

$311,026 and above: 37%

If taxable income is between:

$0 - $9,875: 10%

$9,876 - $40,125:  12%

$40,126 - $85,525: 22% 

$85,526 - $163,300: 24%

$163,301 - $207,350: 32% 

$207,351 - $518,400: 35%

$518,401 and above: 37%

If taxable income is between:

$0 - $14,100: 10%

$14,101 - $53,700:  12%

$53,701 - $85,500: 22% 

$85,501 - $163,300: 24%

$163,301 - $207,350: 32% 

$207,351 - $518,400: 35%

$518,401 and above: 37%

Not covered by qualified retirement plan:  Any amount / Full deduction 

Covered by qualified retirement  plan: 

• $65,000 or less / Full deduction
• $65,001 - $74,999 / Partial  deduction
• $75,000 or more / No deduction

Neither spouse covered by qualified retirement plan: Any amount / Full deduction    

Both spouses covered by qualified  retirement plan:

• $104,000 or less / Full deduction
• $104,001 - $123,999 / Partial deduction
• $124,000 or more / No deduction

One spouse covered - for covered  spouse:     

• $104,000 or less / Full deduction
• $104,001 - $123,999 / Partial deduction
• $124,000 or more / No deduction

One spouse covered - for non-covered  spouse:      

• $196,000 or less / Full deduction
• $196,001 - $205,999 / Partial deduction                                   
• $206,000 or more / No deduction