Smart strategies can help high-income earners reduce their Medicare taxes and overall tax bill.
February 23, 2017
We’ve had a few years now to get familiar with the Medicare payroll tax and surtax that went into effect at the beginning of 2013. If you need a reminder, taxpayer with modified adjusted gross income (MAGI) of $200,000 for individuals or $250,000 for couples filing jointly face a 3.8% surtax on net investment income or the amount of MAGI that exceeds the thresholds prescribed for high-income taxpayers. The second 0.9% Medicare payroll tax applies to wages and self-employment income over the same MAGI thresholds. And while we may have gotten more used to the higher tax, that doesn’t mean we shouldn’t look to smart planning to avoid overpaying. Talk to your financial advisor, alongside your accountant or tax advisor, to identify and implement the strategies that are most advantageous for your situation. Here are some options to consider.
https://jsingletonfinancial.com/wp-content/uploads/2015/01/BlogPost1-1.jpg300500jsingletonhttps://jsingletonfinancial.com/wp-content/uploads/2017/05/JSingletonBlack.pngjsingleton2017-02-23 18:20:212017-06-21 11:44:47Mitigating the Medicare Surtax
At J Singleton Financial, located in Jackson, Wyoming, our team provides our clients the information they may need to choose the most suitable investment products and services for their specific financial needs, including asset management, retirement plans, trust services, managed accounts, 401(k) plans, life insurance and more.
J Singleton Financial
170 E Broadway Suite 100D
P.O. Box 508
Jackson, WY 83001