Individual
Income Tax
Brackets
While there are still
seven individual
income tax brackets,
the percentages
have changed.
Standard Deduction Child Tax Credit
The amount you’re allowed to deduct from your
income before calculating your tax liability,
will increase in 2018. The personal tax exemption has been
suspended for 2018-2025.
2017 2018
Single $6,350 $12,000
Married Filing Jointly
$12,700 $24,000
2017 2018 Married Filing Separately $6,350 $12,000
10% 10% Head of Household $9,350 $18,000
15% 12%
25% 22%
28% 24%
33% 32%
35% 35%
39.6% 37%
2017 2018
Children (younger than 17) 1,000
Refundable portion*
Up to $1,000
Other non-child dependents $0
$2,000
Up to
$1,400
$500
*Refundable portion applies to dependent children and is
calculated based on earned income in excess of $3,000
and $2,500 for 2017 and 2018, respectively.
Alternative Minimum Tax (AMT)
Alternative Minimum Tax (AMT) exemption has
increased across the board.
2017 2018
Single $54,300 $70,300
Head of Household $54,300
$70,300
Married Filing Jointly $84,500
$109,400
Married Filing Separately $42,250
$54,700
TAX REFORM CHANGES AT-A-GLANCE
Retirement Plan Contribution Limits
Some plan contribution limits will see a bit of an increase in the year ahead.
2017 2018
401(k) – annual contributions $18,000 $18,500
SIMPLE Plans – annual contributions $12,500 $12,500
Profit Sharing Plans
Corporate and SEP (employee)
Keogh and SEP (SE person)* 25% up to
20% up to $54,000
$54,000 $55,000
$55,000
Money Purchase Pension Plans**
Corporate
Keogh 25% up to
20% up to $54,000
$54,000 $55,000
$55,000
Maximum Compensation Limit $270,000 $275,000
*Of net self-employed income after self-employment tax deduction.
**Percentage is applied to compensation.
Looking for a
deeper dive?
HSA Contribution Limits
Be prepared for increases in your HSA contribution limits.
Single
2017 2018
Family Single Family
For additional insight
on all things tax reform,
Min. annual deductible $1,300 $2,600 $1,350 $2,700 Max. annual contribution* $3,400 $6,750 $3,450 $6,900 visit Rea’s Tax Reform
Max. out-of-pocket expense $6,550 13,100 $6,650 13,300 Resource Center online at
*Additional $1,000 contribution allowed for taxpayers 55 and older.
www.reacpa.com/TaxReform.
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