Tax planning is all about thinking ahead. It appears that the tax rates from 2019 have remained the same for 2020, with a slight adjustment to the income bracket for inflation. Even with being aware of the slight change, there are a few other ways to make sure you stay on track for 2020.
One way is to check your income tax withholding every year, especially if you’ve changed from one tax bracket to another. Another is to take advantage of any tax credits you may qualify for. The attached tax rate schedule will provide a quick reference of your tax rate, retirement plan contribution limits, social security benefit information, HSA limits, and other tax credits just to name a few. This time of the year can be confusing for some. Always reach out to your tax preparer for specific questions regarding your tax situation. You may also reach out to us at AOG Wealth Management at 703-757-8020 for assistance.