Key 2021 Tax Numbers (Projected)

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Even though the official numbers have not yet been published by the IRS, we’ve projected many of the key tax figures for 2021.

Standard Deduction

2020Projected for 2021
Married filing jointly$24,800$25,100
Head of household$18,650$18,800
Married filing separately$12,400$12,550
Standard deduction for dependentGreater of $1,100 or $350 + earned incomeGreater of $1,100 or $350 + earned income
Additional standard deduction for blind or aged (65 or older)
Single/Head of household$1,650$1,700
All others$1,300$1,350

Taxable Income Threshold for Top 37% Income Tax Bracket

2020Projected for 2021
Married filing jointly$622,050$628,300
Head of household$518,400$523,600
Married filing separately$311,025$314,150

Long-Term Capital Gain 20% Threshold (Based on Taxable Income)

2020Projected for 2021
Married filing jointly$496,600$501,600
Head of household$469,050$473,750
Married filing separately$248,300$250,800

Alternative Minimum Tax (AMT)

2020Projected for 2021
Maximum AMT exemption amount
Married filing jointly$113,400$114,600
Single/Head of household$72,900$73,600
Married filing separately$56,700$57,300
Exemption phaseout threshold
Married filing jointly$1,036,800$1,047,200
Single/Head of household$518,400$523,600
Married filing separately$518,400$523,600
26% on AMTI* up to amount, 28% on AMTI above amount
Married filing separately$98,950$99,950
All others$197,900$199,900

*Alternative minimum taxable income

Kiddie Tax: Child’s Unearned Income

2020Projected for 2021
Above this amount taxed using parents’ tax rates$2,200$2,200

IRA Accounts

2020Projected for 2021
Contribution limits
Traditional and Roth IRAs (combined)$6,000 ($7,000 if age 50 or older)$6,000 ($7,000 if age 50 or older)
Roth IRA income phaseout range (contributions)
Single/Head of household$124,000 to $139,000$125,000 to $140,000
Married filing jointly$196,000 to $206,000$198,000 to $208,000
Married filing separately$0 to $10,000$0 to $10,000
Traditional IRA income phaseout range (deductibility)
1. Covered by an employer-sponsored plan and filing as:
Single/Head of household$65,000 to $75,000$66,000 to $76,000
Married filing jointly$104,000 to $124,000$105,000 to $125,000
2. Not covered by plan but filing joint return with covered spouse$196,000 to $206,000$198,000 to $208,000
3. Married filing separately and either spouse is covered by plan$0 to $10,000$0 to $10,000

Estate Planning

2020Projected for 2021
Top gift, estate, and generation-skipping transfer (GST) tax rate40%40%
Annual gift tax exclusion$15,000$15,000
Noncitizen spouse annual gift tax exclusion$157,000$159,000
Gift tax and estate tax applicable exclusion amount$11,580,0001 + DSUEA2$11,700,0001 + DSUEA2
GST tax exemption$11,580,000$11,700,000

1Basic exclusion amount; 2Deceased spousal unused exclusion amount

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