Limits, Limitations, Data & Dates
Social Security Data
- New York Tax Freedom Day for 2016 May 11th
- 2016 Social Security Cost of Living Adjustment (COLA) 0.00%
- 2016 Average Monthly Benefit $1,341.
- 2016 Social Security Wage Base $118,500.
- Allowable Earnings Under Full Retirement Age $15,720.
- Allowable Earnings In Year In which Recipient Reaches Full Retirement Age $41,880.
- Social Security Recipients At Full S.S. Retirement Age Unlimited
- Lifetime Estate and Gift Tax-Free Transfer Limits $5.45 million
Re-characterization of Roth IRA back to Traditional IRA
The Internal Revenue Service gives you up to October 15th of the year following the year of the Roth conversion to re-characterize that conversion. So for 2015 Roth conversions, the re-characterization deadline is October 15, 2016. The
re-characterization treats the funds as if the conversion had never occurred. Should you re-characterize, don’t forget to file
an amended return and claim a refund for any tax paid on the conversion.
Retirement Savings Facts
- 2016 401(k), 403(b) and most 457 limits are $18,000 for individuals under fifty years of age.
- 2016 401(k), 403(b) and most 457 limits for over age fifty are an additional $6,000 as a catch-up provision.
- 2016 IRA limits are $5,500 for individuals under fifty years of age.
- 2016 IRA limits are $6,500 for individuals over fifty years of age.
- 2016 Traditional IRA contributions phased out for Joint Filers w/ AGI between $98,000 and $118,000.
- 2016 Traditional IRA contributions phased out for Individual Filers w/ AGI between $61,000 and $71,000.
- 2016 Roth IRA contributions phased out for Joint Filers w/ AGI between $183,000 and $193,000.
- 2016 Roth IRA contributions phased out for Individual Filers w/ AGI between $116,000 and $131,000.