| Tax
Rates & Limits
Payroll Related
FICA Social Security Employee's
share Wages to $97,500 @ 6.2%
maximum $6,045
FICA Social Security Employer's
share Wages to $97,500 @ 6.2%
maximum $6,045
FICA Social Security
Total
Wages to $97,500 @ 12.4% maximum $12,090
FICA Medicare Employee's
share
Wages no limit @ 1.45% no limit
FICA Medicare Employer's
share
Wages no limit @ 1.45% no limit
FICA Medicare
Total
Wages no limit @ 2.9% no limit
Self Employment Social
Security
Self
employment Earnings to $97,500 @ 12.4% maximum $12,090
Self Employment
Medicare
All self employment earnings @ 2.9% no limit
One half of Self Employment taxes are deductible in computing
self employment earnings. It becomes a convoluted algebraic problem to correctly
compute self employment tax.
California SDI
Wages to $83,389 @ .6% maximum $500.33
California Unemployment Insurance
Wages to $7,000 @ 3.4% (rate can vary based on claim
experience)
California Employment Training Tax
Wages to
$7,000 @.1% maximum $7
Federal Unemployment Tax
Wages to $7,000 @
.8% maximum $56
Mileage
Business
miles
48.5 cents per mile
Charitable
activities
14 cents per mile
Medical/Moving
expense
20 cents per mile
Retirement Related
IRA Contribution Regular
$4,000 50 and over $5,000
If you covered by a retirement plan at work your
deductible contribution is phased out if your modified adjusted Gross income
is:
More than $83,000 but less than $103,000 for a married couple filing a
joint return or a qualifying widow(er),
More than $52,000 but less than $62,000 for a single individual or head
of household, or
Less than $10,000 for a married individual filing a separate return.
If one spouse is covered at work by a retirement plan the
Phase out range is $156,000 to $166,000.
Roth IRA Contribution Regular $4,000 50 and over $5,000
The amount of your modified adjusted gross income may reduce
or eliminate the amount of allowable contribution.
For a married couple filing a
joint return or a qualifying widow(er), contributions phase out at $156,000
to $166,000.
For a single individual or head
of household, contributions phase out at $99,000 to $114,000.
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