Moving Iron Podcast Tax Moves With Glen Birnbaum 5-4-18

On this episode, Glen goes over the concept of itemizing your deductions or taking the standard deduction. What expenses can be itemized? Medical (must be large over 7.5% of income) State and local income taxes (capped at $10K) Mortgage interest Charitable donations New standard deduction is much higher - $24,000 for a married couple in year 2018. This means more people will be taking the standard deduction. 30% itemized in 2015, expected to be half of that in 2018. Meaning donations will not change your tax bill because it won’t get you over the $24,000. In theory no tax motivation to donate to charity for more people now. Tax Moves: Bunching or doubling up on donations in one year For those taxpayers over age 70.5, do a qualified charitable distribution (QCD). Take your required minimum distribution from an IRA and donate it directly to charity. The side benefit is it keeps our AGI lower which might help with Medicare part B and D premiums
Moving Iron Podcast Tax Moves With Glen Birnbaum 5-4-18