MAGI Archives - Milliken, Perkins & Brunelle

Checking off RMDs on the year-end to-do list

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December 9, 2025 Kevin Brunelle 401k, IRA, MAGI, NIIT, required minimum distribution, RMD

RMD distribution

You likely have a lot of things to do between now and the end of the year, such as holiday shopping, donating to your favorite charities and planning get-togethers with family and friends. For older taxpayers with one or more tax-advantaged retirement accounts, as well as younger taxpayers who’ve inherited such an account, there may be one more thing that’s critical to check off the to-do list before year end: Take required minimum distributions (RMDs).
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How the Social Security wage base will affect your payroll taxes in 2026

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November 5, 2025 Kevin Brunelle AGI, FICA, MAGI, Medicare, payroll tax, self employment tax, Social Security wage base

The 2026 Social Security wage base has been released. What’s the tax impact on employees and the self-employed? Let’s take a look.
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The 2025 SALT deduction cap increase might save you substantial taxes

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October 21, 2025 Kevin Brunelle AMT, MAGI, OBBBA, property tax, salt deduction, tcja

2025 SALT deduction

If you pay more than $10,000 in state and local taxes (SALT), a provision of the One Big Beautiful Bill Act (OBBBA) could significantly reduce your 2025 federal income tax liability. However, you need to be aware of income-based limits, and you may need to take steps before year end to maximize your deduction.
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Making the most of the new deduction for seniors

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October 7, 2025 Kevin Brunelle AGI, capital loss, MAGI, OBBBA, Roth conversion

senior tax deduction

For 2025 through 2028, individuals age 65 or older generally can claim a new “senior” deduction of up to $6,000 under the One Big Beautiful Bill Act (OBBBA). But an income-based phaseout could reduce or eliminate your deduction. Fortunately, if your income is high enough that the phaseout is a risk, there are steps you can take before year end to help preserve the deduction.
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Your guide to Medicare premiums and taxes

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December 10, 2024 Judi Jones MAGI, Medicare, Part D, SSA-1099

Medicare premium

Medicare health insurance premiums can add up to big bucks — especially if you’re upper-income, married, and you and your spouse both pay premiums. Read on to understand how taxes fit in.

Understanding the $7,500 federal tax credit for buying an electric vehicle

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September 10, 2024 Kevin Brunelle Clean Vehicle Credit, electric vehicle, EV, EV tax credit, MAGI

electric vehicle tax credit

Electric vehicles (EVs) have become increasingly popular. According to Kelley Blue Book estimates, the EV share of the vehicle market in the U.S. was 7.6% in 2023, up from 5.9% in 2022. To incentivize the purchase of EVs, there’s a federal tax credit of up to $7,500 for eligible vehicles.
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Reduce the impact of the 3.8% net investment income tax

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June 6, 2023 Kevin Brunelle MAGI, net investment income tax, NIIT

net investment income tax

High-income taxpayers face a regular income tax rate of 35% or 37%. And they may also have to pay a 3.8% net investment income tax (NIIT) that’s imposed in addition to regular income tax. Fortunately, there are some ways you may be able to reduce its impact.

Plan ahead for the 3.8% Net Investment Income Tax

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June 1, 2021 Kevin Brunelle dividend, MAGI, net investment income tax, NIIT

net investment income tax

High-income taxpayers face a 3.8% net investment income tax (NIIT) that’s imposed in addition to regular income tax. Fortunately, there are some steps you may be able to take to reduce its impact.