With the debt ceiling resolved (for now) it’s time to start tending to personal budgets and deadlines. Here are some things that will be hitting in the next couple of months:
- New tax rules for 2014
- 3.8% tax on net investment income for high income earners over $200,000 (single) or $250,000 (joint)
- .9% additional Medicare tax on wages above $200,000 (single) or $250,000 (joint)
- A new 39.6% tax bracket for taxable income exceeding $400,000 (single) or $450,000 (joint)
- New 20% capital gains rates for taxpayers earning over $400,000 (single) or $450,000 (joint)
- Expiring deductions: charitable IRA deductions, energy-efficient tax breaks, education expenses, deductions for state and local taxes, bonus depreciation
- Health Care decisions
- Medicare annual open enrollment period: Oct 15-Dec 7
- Public health exchanges enrollment: October 2013-march 2014
- Employer’s open enrollment period: Now (for many companies)
- Managing the taper
- Diminishing QE undercuts equity prices
- Interest rates rise
- Bonds take a beating
Click on the picture below to see if there are any specific planning activities you need to address before year end.
