| |
Health Savings Account Contribution Limits |
Plan |
2007 |
2008 |
Contribution Limits |
$2,850 Single
$5,650 Family
|
$2,900 Single
$5,800 Family
|
Deductable Ranges |
$1,100-$3,000 S
$2,200-$6,000 F
|
$1,100-$3,000 S
$2,200-$6,000 F
|
Max out of pocket
includes deductable
|
$5,500 Single
$11,000 Family |
$5,600 Single
$11,200 Family |
Tax
Deductions For Long Term Care Insurance |
Premium payments for a tax-qualified long-term care
insurance policy
are deductible as personal medical expenses for those taxpayers who
itemize their deductions.
Age |
2007 |
2008 |
40 & Under |
$290 |
$310 |
41 to 50 |
$550 |
$580 |
51 to 60 |
$1100 |
$1150 |
61 to 70 |
$2950 |
$3080 |
70 & Older |
$3680 |
$3850 |
*Prices above are for individuals.
Prices for couples would be twice those of
the individuals.
Deductions can be taken for individuals, their
spouse and tax dependents
(such as parents) and are subject to the same tax rules as traditional medial
expenses (such as 7.5% adjusted gross income [AGI]
floor).
Payments for a tax-qualified long-term care insurance policy purchased
by a self employed individual or sole proprietor are currently treated as
medical insurance premiums with the same limits as those for individuals
taxpayers.
Premium payments for a tax-qualified [TQ] long-term care insurance policy
are fully (100%) deductible as a reasonable and
necessary business
expense similar to traditional health and accident insurance premiums
(IRC Sec 702B[a][3]).
FOR S-CORPORATIONS
LIMITED LIABILITY COMPANIES
PARTNERSHIPS
|
Premium payments for policies purchased for a
non-partner/non-owner or
less-than-2% shareholder-employee are fully deductible as a reasonable
and necessary business expense so long as the
entity does not retain any
interest in the policy. The same is true for their
spouse or tax dependents.
 |
IRA Fact Sheet |
Year |
Max
Contribution |
Catch
- Up
Age 50+ |
Max
Contribution with Catch Up |
2006 |
4,000 |
1,000 |
5,000 |
2007 |
4,000 |
1,000 |
5,000 |
2008 |
5,000 |
1,000 |
6,000 |
- Individuals can make a 2008 contribution up
until April 15th, 2009
- Individuals age 50 and above can contribute
a total of $12,000 jointly
- Individuals cannot make an IRA Contribution
during the year they turn 701/2.
Note: If they wait until April 1, individuals
must take two distributions during that year.
Contributions can be made in 2009 until April
1st for the 2008 tax year.
- After 2009 figures are adjusted for inflation.
*IRA
Eligibility - Limits |
Tax
Year |
Single |
Married
Filing Jointly |
2006 |
$50,000 to $60,000 |
$75,000 to $85,000 |
2007 |
$52,000 to $62,000 |
$80,000 to $100,000 |
2008 |
$53,000 to $63,000 |
$85,000 to $105,000 |
* Please note there is no eligibility limit for
self employed individuals.
** The above tax charts are based on current IRS
regulations and may be subject to future changes.
Business
Retirement Plan Contribution Limits |
Plan |
2007 |
2008 |
401(k) and 403(b) Plans |
$15,500 |
$15,500 |
SIMPLE Plans |
$10,500 |
$10,500 |
Catch-up Contribution Amounts (for employees age 50 and older)
401(k), 403(b)
SIMPLE Plans |
$5,000
$2,500 |
$5,000
$2,500 |
Defined Contribution Plans |
Lesser of 100% of compensation or $45,000 |
Lesser of 100% of compensation or $46,000 |
Defined Benefits Plans |
Lesser of 100% of average compensation for high 3 years or $180,000 |
Lesser of 100% of average compensation for high 3 years or $185,000 |
Annual Compensation Limit |
$225,000 |
$230,000 |
|
