Reminders (2016.01)

Happy New Year men, women, and children!  Actually if your child is reading this, I think its safe to say she’s on track to be a huge nerd like me, which is of course a good thing.  I know I’ll be reading this to our daughter later tonight.Reminders

It’s time for our quarterly reminder email.  The closest items due in the list below are:

1)  Quarterly estimated federal income tax payment is due January 31, 2016 for the period September 1, 2015 through December 31, 2015

2)  Payments of 2015 property tax for Texas counties are generally due by January 31, 2016

3)  The due date for corporate 2015 income tax returns is March 15, 2016.

4)  The due date for partnership 2015 income tax returns is April 15, 2016.

5)  The due date for individual 2015 income tax returns is April 15, 2016.

6)  The deadline to contribute to an HSA to be counted for your 2015 income taxes is April 15, 2016.   The single contribution limit for 2015 is $3,350.  The family contribution limit for 2015 is $6,650.  Those aged 55 and older may contribute an additional $1,000.

7)  The deadline to contribute to a traditional or Roth IRA to be counted on your 2015 income taxes is April 15, 2016.   The contribution limit is $5,500.  Those aged 50 and older may contribute an additional $1,000.

 

2015 Federal Income Tax Filing Deadlines                

Tax Filing                             Original Date                      Extension Date (1, 4)

Individual                            April 15                                 October 15

Partnership (2, 3)               April 15                                 September 15

Corporation (2, 3)              March 15                              September 15

1  –  Please note these extension dates are for filings ONLY.  Payments are still due by the original date.

2  –  For calendar-year partnerships and corporations.

3  –  The dates for the calendar-year partnership and corporation will change in 2016 due to the recent H.R 3236 bill passed.

4  –  The date for certain counties in Texas has been extended to November 2, 2015 due to tax relief granted to certain areas for severe storms, tornadoes, straight-line winds and flooding that took place beginning on May 4, 2015.  (https://www.irs.gov/uac/Tax-Relief-for-Victims-of-Severe-Storms-Tornadoes-Straight-line-Winds-and-Flooding-in-Texas).

 

Property Tax Filing Deadlines

In most Texas counties, you must protest your property taxes by May 31.  The payment deadline is January 31.  Check with your specific county for more information.

 

IRS Quarterly Estimated Income Tax Payments

Due Date                             Payment Period

April 15                                 January 1 – March 31

June 15                                 April 1 – May 31

September 15                      June 1 – August 31

January 15                           September 1 – December 31

 

Health Savings Accounts (HSA)

Single Contribution Limit:

$3,350 (2015, 2016)

Family Contribution Limit:

$6,650 (2015), $6,750 (2016)

Catch-Up Contribution:

$1,000 for those aged 55 and older (2015, 2016)

Contribution Deadline:

April 15

 

Flexible Savings Accounts (FSA)

Spending Deadline:

December 31

Optional Grace Period:

March 15, but only if allowed by your employer

Contribution Limit:

$2,550 (2015, 2016)

Optional Carryover:

$500 may be carried over to following year, but only if allowed by your employer (2015, 2016)

 

Traditional Individual Retirement Accounts (IRAs)

Contribution Deadline:

April 15

Maximum Contribution:

$5,500 (2015, 2016)

Catch-Up Contribution:

$1,000 for those aged 50 and older (2015, 2016)

Contribution Limits:

Contributions not allowed in the year you reach 70 ½ and older

Deduction Limits (2015):

If you are covered by a retirement plan at work, no deduction is allowed if –

Single and modified AGI is $71,000 or more

Married and modified AGI is $118,000 or more

Married Filing Separately and modified AGI is $10,000 or more

If you are not covered by a retirement plan at work, but your spouse is covered by a retirement plan at work, no deduction is allowed if –

Married and modified AGI is $193,000 or more

Married Filing Separately and modified AGI is $10,000 or more

Deduction Limits (2016):

If you are covered by a retirement plan at work, no deduction is allowed if –

Single and modified AGI is $71,000 or more

Married and modified AGI is $118,000 or more

Married Filing Separately and modified AGI is $10,000 or more

If you are not covered by a retirement plan at work, but your spouse is covered by a retirement plan at work, no deduction is allowed if –

Married and modified AGI is $194,000 or more

Married Filing Separately and modified AGI is $10,000 or more

 

Roth Individual Retirement Accounts (IRAs)

Conversion Deadline:

December 31

Contribution Deadline:

April 15

Maximum Contribution:

$5,500 (2015, 2016)

Catch-Up Contribution:

$1,000 for those aged 50 and older (2015, 2016)

Contribution Limits (2015):

Contributions are not allowed if –

Single and modified AGI is $131,000 or more

Married and modified AGI is $193,000 or more

Married Filing Separately and modified AGI is $10,000 or more

Contribution Limits (2016):

Contributions are not allowed if –

Single and modified AGI is $132,000 or more

Married and modified AGI is $194,000 or more

Married Filing Separately and modified AGI is $10,000 or more

Deduction Limits:

Roth contributions are not deductible

 

401(k) Retirement Plan

Salary Deferrals:

$18,000 (2015, 2016)

Catch-Up Deferral:

$6,000 for those aged 50 and older (2015, 2016)

Deferral Deadline:

December 31

Excess Deferral Correction:

April 15

Employer + Employee Contributions:

The lesser of 100% of employee compensation or $53,000 (not including catch up deferrals) (2015, 2016)

Annual Compensation Limit:

$265,000 (2015, 2016)

 

Disclosures:         

Composed Financial Management, PLLC does not provide tax advice.  The material presented above is for informational purposes only.  The information listed above is not all-inclusive or exhaustive.  There may be other deadlines that apply to you or other responsibilities you may have with various taxing authorities.  Please consult your tax adviser for more information.

None of the information or data presented herein constitutes a recommendation by Composed Financial Management, LLC (“the Firm”) or a solicitation of any offer to buy or sell any securities. Information presented is general information that does not take into account your individual circumstances, financial situation or needs, nor does it present a personalized recommendation to you. Although information has been obtained from and is based upon sources the Firm believes to be reliable, we do not guarantee its accuracy and the information may be incomplete or condensed. All expressions of opinion reflect the judgment of the authors as of the date of publication and are subject to change.  Past performance is no guarantee of future results.

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