Social Security Administration Updates:
- The Social Security Wage base is increasing from $127,200 to $128,400
- The Nanny tax threshold is increasing from $2,000 to $2,100
- The contribution limit for 401(k) plan contributions is increasing to $18,500 from $18,000
- The limit on annual contributions to an IRA or SIMPLE plan remains unchanged at $5,500 and $12,500, respectively.
- Phase-out thresholds for traditional and Roth IRA contributions both increased slightly.
- The standard deduction will increase $300 to $13,000 for married filing jointly
- The standard deduction will increase $150 to $6,500 for single taxpayers
- The standard deduction will increase $200 to $9,550 for heads of households
- The personal exemption will increase $100 to $4,150
- Tax brackets and phase-out limitations have increased slightly
- The annual exclusion for gifts increased $1,000 to $15,000
For more information on the inflation-adjusted items click to see Revenue Procedure 2017-58
This article was updated on 11/30/2017 to reflect the updated social security threshold of $128,400 previously announced at $128,700.