Tax, Accounting and Business Consulting

  Social Security Points You must earn 40 Social Security Credit to qualify Social Security benefits. Credit is earned when you earn and pay social security taxes. You can either earn this as an employee or as a self employed individuals. Employer must match your deduction and that will go towards your social security account. However there is limit to the deduction. The income is limited to certain threshold. You social security is not deducted once you hit the ceiling.  This annual limit is called the contribution and benefit base. For the year 2023, the limit is $160,200. For 2022 it was $147,000. In simple word social security is deducted for maximum of $9,932.40 for the year 2023. The limit is decided based on national average wage index. How do you earn social security points? You earn social security points when you earn certain amount of wages each year. You can earn only up to 4 point in a year. To reach your 40 points, you need to put in social security taxes...

Individual Tax Saving Strategies Good amount of tax saving can be done following some basic rules. Tax saving put more money in your pocket and also provide financial freedom in future if you choose good investment and retirement plan while planning your taxes. Tax  planning is a continues process throughout the year than just visiting a CPA at the year end and give her all your tax info and expect her to make best out of it. Consult a good tax practitioner and spending some time with her/him to discuss your tax situation and your financial goals. Tax planning does not have a specified format; it depends on the financial goals and need of an individual. Tax planning is tailor-made rather than readymade strategies. However there are certain measures you might take which saves you some taxes and helps you acquire financial freedom in long run. Here are few things you can do to save your taxes: Contribute to employer sponsored retirement account – 401K, 403(b), etc. Contribute to the ...