Broker Check

Key Financial Data for 2016

March 04, 2016

Tax season has begun, and while you look back over your financials for 2015, we would like to help you plan moving forward. Here are some highlights from our 2016 Key Financial Data, which should help as you make financial decisions personally and professionally this year. 

· Looking at this year’s tax rate schedule for individuals, as well as trusts and estates, please note that capital gain rates remain the same as last year, and the 3.8% investment income surtax applies to married taxpayers at $250,000 income and to single taxpayers at $200,000 income. This tax generally applies to “passive” income (interest, capital gains, dividends, and rental income) as opposed to earned income, alimony, and Social Security.

· Also note the standard deduction and exemption information, especially as it relates to the Alternative Minimum Tax. Millions of taxpayers are subject to the AMT annually, so you should consult with your tax professional about whether this will affect you, and how you can avoid it in future tax years.

· Workers still accumulating for retirement should reference the retirement plan and individual retirement plan account limits. If your budget allows you to increase contributions, now is a great time to put money away for your future.

· You can gift up to $14,000 this year to as many people as you wish without paying gift taxes. Investments into 529 Plans are gifts, so the gifting limit should be considered with respect to college saving goals.

· Self-employed and retired taxpayers should note the Tax Deadlines, as they relate to quarterly payments and tax filing dates.

· Retirees should note the Social Security tax parameters, Medicare tax and premiums, and the Uniform Lifetime Table, which is used to calculate Required Minimum Distributions. While we calculate the Required Minimum Distribution for our clients’ assets, this is useful information for assets held personally.

If you have any questions, please do not hesitate to contact us.


Although this information has been gathered from sources believed to be reliable, it cannot be guaranteed. Neither FSC Securities Corporation, nor its registered representatives, offer tax or legal advice. Federal tax laws are complex and subject to change. As with all matters of a tax or legal nature, you should consult with your tax or legal counsel for advice.