TAX145 - GUIDE: Key Tax Numbers (2022)
Key Numbers for 2022
Individual Income Tax
Unmarried Individual (Other than Surviving Spouse and Head of Household) | |
If taxable income is: | The tax rate of taxable income is: |
| $10,275 or less | 10% of the taxable income |
| $10,276–$41,775 | $1,027.50 plus 12% of the excess over $10,275 |
| $41,776–$89,075 | $4,807.50 plus 22% of the excess over $41,775 |
| $89,076–$170,050 | $15,213.50 plus 24% of the excess over $89,075 |
| $170,051–$215,950 | $34,647.50 plus 32% of the excess over $170,050 |
| $215,951–$539,900 | $49,335.50 plus 35% of the excess over $215,950 |
| $539,901 or greater | $162,718 plus 37% of the excess over $539,900 |
Married Individual Filing Jointly and Surviving Spouse | |
| $20,550 or less | 10% of the taxable income |
| $20,551–$83,550 | $2,055 plus 12% of the excess over $20,550 |
| $83,551–$178,150 | $9,615 plus 22% of the excess over $83,550 |
| $178,151–$340,100 | $30,427 plus 24% of the excess over $178,150 |
| $340,101–$431,900 | $69,295 plus 32% of the excess over $340,100 |
| $431,901–$647,850 | $98,671 plus 35% of the excess over $431,900 |
| $647,851 or greater | $174,253.50 plus 37% of the excess over $647,850 |
Married Individual Filing Separately | |
| $10,275 or less | 10% of the taxable income |
| $10,276–$41,775 | $1,027.50 plus 12% of the excess over $10,275 |
| $41,776–$89,075 | $4,807.50 plus 22% of the excess over $41,775 |
| $89,076–$170,050 | $15,213.50 plus 24% of the excess over $89,075 |
| $170,051–$215,950 | $34,647.50 plus 32% of the excess over $170,050 |
| $215,951–$323,925 | $49,335.50 plus 35% of the excess over $215,950 |
| $323,926 or greater | $87,126.75 plus 37% of the excess over $323,925 |
Head of Household | |
| $14,650 or less | 10% of the taxable income |
| $14,651–$55,900 | $1,465 plus 12% of the excess over $14,650 |
| $55,901–$89,050 | $6,415 plus 22% of the excess over $55,900 |
| $89,051–$170,050 | $13,708 plus 24% of the excess over $89,050 |
| $170,051–$215,950 | $32,145 plus 32% of the excess over $170,050 |
| $215,951–$539,900 | $46,385 plus 35% of the excess over $215,950 |
| $539,901 or greater | $161,218.50 plus 37% of the excess over $539,900 |
Trusts and Estates
| $2,750 or less | 10% of the taxable income |
| $2,751–$9,850 | $275 plus 24% of the excess over $2,750 |
| $9,851–$13,450 | $1,979 plus 35% of the excess over $9,850 |
| $13,451 or greater | $3,239 plus 37% of the excess over $13,450 |
Qualified Business Income. For taxable years beginning in 2021, the threshold amount under Section 199A(e)(2) is $340,100 for married individuals filing jointly and $170,050 for married individuals filing separately, unmarried individuals, and heads of households.
The Tax Cuts and Jobs Act (TCJA) reduced the U.S. federal corporate income tax rate from 35 percent to 21 percent.
Standard Deductions
| Married Filing Jointly and Surviving Spouse | $25,900 | Married Filing Separately | $12,950 |
| Single | $12,950 | Head of Household | $19,400 |
Kiddie Tax
| Applies to unearned income more than $2,300 for children younger than 18 (and full-time students between ages 19 and 24 whose earned income does not exceed half of their support for the year). TCJA modified the tax rates and brackets to calculate the tax on unearned income. However, the SECURE Act of 2019 rolled back the kiddie tax to pre-2018 rules. Therefore, net unearned income over the threshold amount of $2,300 for 2022 is taxed using the parents’ tax rates. |
AMT
| Exemption | Phaseout |
| Married Individual Filing Jointly and Surviving Spouse | $118,100 | $1,079,800 |
| Single | $75,900 | $539,900 |
| Married Individual Filing Separately | $59,050 | $539,900 |
| Trusts and Estates | $26,500 | $88,300 |
Long-Term Capital Gains and Qualified Dividend Tax
Capital Gains Tax Rate | Unmarried | Married Filing Jointly | |
| 20%* | $459,751 or greater | $517,201 or greater | |
| 15%* | $41,676–$459,750 | $83,351–$517,200 | |
| 0% | $0–$41,675 | $0–$83,350 | |
| *Additional 3.8% unearned income Medicare contribution tax applies to the lesser of net investment income or modified adjusted gross income (MAGI) above the following thresholds: | |||
| Married Filing Jointly | $250,000 | Married Filing Separately | $125,000 |
| Single | $200,000 | Head of Household | $200,000 |
Health Savings Account (HSA) Maximum Contribution Limits
| Self-Only Coverage | If younger than age 55: $3,650; if age 55–65: $4,650 |
| Family Coverage | If younger than age 55: $7,300; if age 55–65: $8,300 |
Retirement Plan Limits
| 401(k), SARSEP, Section 457(b), 403(b) Elective Deferral Limit | $20,500 |
| Age 50+ Catch-Up for 401(k), SARSEP, 457(b), 403(b) | $6,500 |
| SIMPLE Elective Deferral Limit | $14,000 |
| Age 50+ Catch-Up for SIMPLE IRA | $3,000 |
| Traditional and Roth IRA Contributions | $6,000 |
| Age 50+ Catch-Up for IRA and Roth IRA | $1,000 |
| Section 415 Limit (Defined Contribution Plan) | $61,000 |
| Defined Benefit Plan Benefit Limit | $245,000 |
| Annual Compensation Limit for QRP, SEP, and 403(b) | $305,000 |
| Highly Compensated Definition | $135,000 |
| Control Employee | $120,000 |
| Key Employee in Top-Heavy Plan Definition | $200,000 |
IRA Deduction Phaseout for Active Participants
Filing Status | Starting at: | Fully Phased Out at: |
| Single or Head of Household | $68,000 | $78,000 |
| Married Filing Jointly or Qualifying Widow(er) | $109,000 | $129,000 |
| Married Filing Jointly and Spouse Is Active Participant in an Employer Plan | $204,000 | $214,000 |
| Married Filing Separately and Either Spouse Is Active Participant in an Employer Plan | $0 | $10,000 |
Roth Contribution Income Limits
Filing Status | Starting at: | Fully Phased Out at: |
| Single | $129,000 | $144,000 |
| Married Filing Jointly | $204,000 | $214,000 |
| Married Filing Separately | $0 | $10,000 |
Business Health Insurance
| Health Insurance Premium Deduction for Self-Employed | 100% |
| Limit on Employee Health Insurance Credit for Small Employers | $28,700 |
Education Planning
| U.S. Savings Bond Income Exclusion Phaseout | Modified AGI $128,650–$158,650 (joint) Modified AGI $85,800–$100,800 (others) |
| Coverdell Education Savings Account (Education IRAs) Annual Contribution Limit | $2,000 |
| Coverdell Education Savings Account Phaseout | Modified AGI $190,000–$220,000 (joint) Modified AGI $95,000–$110,000 (others) |
| $2,500 American Opportunity Tax (HOPE) Credit Phaseout | Modified AGI $160,000–$180,000 (joint) Modified AGI $80,000–$90,000 (others) |
| $2,000 Lifetime Learning Credit Phaseout | Modified AGI $160,000–$180,000 (joint) Modified AGI $80,000–$90,000 (others) |
| Phaseout of $2,500 Interest Deduction on Education Loans | Modified AGI $145,000–$175,000 (joint) Modified AGI $70,000–$85,000 (others) |
Federal Estate and Gift Tax
| Annual Gift Tax Exclusion per Donee | $16,000 |
| Annual Gift Exclusion to Non-U.S.-Citizen Spouse | $164,000 |
| Estate Tax Exemption | $12,060,000 |
| Lifetime Gift Tax Exemption | $12,060,000 |
| Generation-Skipping Transfer Tax Exemption | $12,060,000 |
| Special Use (Section 2032A) Valuation Reduction | $1,230,000 |
Long-Term Care Premium Deductions
| Qualified LTC Insurance Deductions: Subject to 10% of AGI Medical Expense Floor | |
Age | Limit |
| 40 and younger | $450 |
| 41–50 | $850 |
| 51–60 | $1,690 |
| 61–70 | $4,510 |
| 71 and older | $5,640 |
Please note: Indemnity policy benefit payments that exceed the higher of the cost of long-term care or $400 per day will be taxed as income.
Medicaid1
| Community Spouse Resource Allowance | $27,480 minimum; $137,400 maximum |
| Monthly Maintenance Allowance | $2,523 minimum; $3,435 maximum |
| Home Equity Limit | $636,000 (state can opt to increase to $955,000) |
| “Income Cap” State Income Limit | $2,523 |
Social Security
| CPI Increase in Benefits | 5.9% |
| Maximum Monthly Benefit at Full Retirement | $4,194 month |
| Retirement Earnings Exempt Amount Under FRA | $19,560; $1 withheld for every $2 earned more than this amount |
| Retirement Earnings Exempt Amount Year of FRA | $51,960; $1 withheld for every $3 earned more than this amount |
Medicare
| Medicare Part A (if applicable) Monthly Premium | $471 for fewer than 30 quarters of coverage $259 for between 30 and 39 quarters of coverage |
| Medicare Part A Deductible and Coinsurance | $1,556 for 1–60 days An additional $389 for 61–90 days $778 for 91–150 days All costs > 150 days |
| Medicare Part A Deductible for Skilled Nursing Facility in a Benefit Period | $194.50 per day during 21–100 days |
| Medicare Part B Deductible | $233 per year |
Medicare Premium
| Individual Filer | Married Filing Jointly | ||||||||||||||||||||||
| Medicare Part B Monthly Premium Some Medicare beneficiaries may pay less if certain conditions are met. | $170.10 $238.10 $340.20 $442.30 $544.30 $578.30 | $0–$91,000 $91,001–$114,000 $114,001–$142,000 $142,001–$170,000 $170,001–$499,999 $500,000 and greater | $0–$182,000 $182,001–$228,000 $228,001–$284,000 $284,001–$340,000 $340,001–$749,999 $750,000 and greater | |||||||||||||||||||||
| Medicare Part D Deductible | The amount paid for Part D deductibles, copayments, and/or coinsurance varies by plan. | |||||||||||||||||||||||
| Medicare Part D Monthly Premium Surcharge |
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Please note: Medicare premiums are based on MAGI from two years prior to the current premium year. These are 2022 Medicare premium costs and thresholds and are based upon 2020 MAGI.
Payroll Taxes
| Employee | Self-Employed |
| Social Security Tax | 6.2% | 12.4% |
| Social Security Wage Base | $ 147,000 | |
| Medicare Tax | 1.45% | 2.9% |
| Additional Medicare Tax | 0.9% on Earnings Higher than the Following Thresholds: | |
| Single or Head of Household | $200,000 | |
| Married Filing Jointly | $250,000 | |
| Married Filing Separately | $125,000 | |
This material has been provided for general informational purposes only and does not constitute either tax or legal advice. Although we go to great lengths to make sure our information is accurate and useful, we recommend you consult a tax preparer, professional tax advisor, or lawyer.
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