Ok, so the deduction of my traditional IRA contributions depends on my having a 401k, which I haven’t had for most of my career. Retirement rules are so fucked up. I had it in 2007 and 2008, then not again until 2015. So I should have been able to deduct the years 2012, 2013, and 2014. Before that, I was likely too stupid to fund the IRA.
If you have an employer retirement plan and you earn more than $70k or so, you can’t deduct your IRA contributions.
For 2012, the limit was $68k
For 2013, the limit was $69k
For 2014, the limit was $70k if covered by workplace retirement plan
For 2015, the limit was $71k
For 2016, the limit was $71k
So only about $11k of my $64k in my IRA I shouldn’t have to pay tax on. I still have to convert $50k at California tax rates, which are fucked.
Isn’t it interesting that I’m taxed on income that goes to social security, medicare, etc.? I pay tax on it, but I die the government keeps it! What a fabulous deal for them. 2016 total tax rate was 25.7%
While I’m at it, here’s an updated tax and income:
It dips in 2015 b/c I did some contract work in 2014 that gave me a little bump, and I didn’t do any extra work in 2015. 2016 is up b/c I negotiated more $.