Bill  Eggert, CFP®, NSSA®'s Profile Picture

Eggert Financial Management, Inc.

Cultivating Wealth, Shaping Legacies
Bill Eggert, CFP®, NSSA®
7200 S. Alton Way
Suite A-210
Centennial, CO 80112

Company Logo

February 24, 2020

2020 Key Numbers

Education Planning

American Opportunity and Lifetime Learning Credits

Education credits20202021
Maximum American Opportunity credit$2,500$2,500
Maximum Lifetime Learning credit$2,000$2,000
MAGI phaseout range for American Opportunity credit20202021
Single--phaseout threshold amount$80,000$80,000
Single--completed phaseout amount after$90,000$90,000
Married filing jointly--phaseout threshold amount$160,000$160,000
Married filing jointly--completed phaseout amount after$180,000$180,000
MAGI phaseout range for Lifetime Learning credit20202021
Single--phaseout threshold amount$59,000$80,000
Single--completed phaseout amount after$69,000$90,000
Married filing jointly--phaseout threshold amount$118,000$160,000
Married filing jointly--completed phaseout amount after$138,000$180,000

Coverdell education savings accounts

Coverdell ESAs20202021
Annual contribution limit$2,000$2,000
MAGI phaseout range for Coverdell education savings accounts20202021
Single--phaseout threshold amount$95,000$95,000
Single--completed phaseout amount after$110,000$110,000
Married filing jointly--phaseout threshold amount$190,000$190,000
Married filing jointly--completed phaseout threshold amount$220,000$220,000

Deduction for qualified higher education expenses

Higher education expenses20202021
Maximum deduction$4,000N/A
MAGI maximum for full $4,000 deduction20202021
Married filing jointly$130,000N/A
MAGI range for $2,000 deduction20202021
Single--MAGI greater than this amount:$65,000N/A
Single--MAGI does not exceed this amount:$80,000N/A
Married filing jointly--MAGI greater than this amount:$130,000N/A
Married filing jointly--MAGI does not exceed this amount:$160,000N/A

Deduction for student loan interest

Education loan interest deduction20202021
Maximum deduction for interest paid on qualified education loans$2,500$2,500
MAGI phaseout range20202021
Single--phaseout threshold amount$70,000 $70,000
Single--completed phaseout amount after$85,000$85,000
Married filing jointly--phaseout threshold amount$140,000 $140,000
Married filing jointly--completed phaseout amount after$170,000$170,000

Gift tax exclusion

Gift tax20202021
Annual gift tax exclusion--single individual$15,000 $15,000
Annual gift tax exclusion--joint gift$30,000$30,000
Lump-sum gift to 529 plan--single individual$75,000$75,000
Lump-sum gift to 529 plan--joint gift$150,000$150,000

Kiddie tax

Kiddie tax20202021
Children's unearned income over this amount generally taxed at parents' tax rates$2,200$2,200

U.S. savings bonds interest exclusion for college expenses

Joint returns20202021
Phaseout threshold for joint returns$123,550$124,800
Completed phaseout amount after$153,550$154,800
Other returns20202021
Phaseout threshold for other returns$82,350$83,200
Completed phaseout amount after$97,350$98,200
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Eggert Financial Management, Inc. is an Investment Advisory firm regulated by the State of Colorado.


Prepared by Broadridge Advisor Solutions Copyright 2021.