Pension Corporation of America

Wealth Management
Pension Corporation of America
2133 Luray Avenue
Cincinnati, OH 45206
fax 513-281-1799
fax 513-281-1799

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April 25, 2023

2023 Key Numbers

Business Planning

Adoption Assistance Programs

Adoption assistance20232024
Maximum amount that can be excluded from employee's gross income$15,590$16,810
Phaseout threshold amount$239,230$252,150
Completed phaseout amount after$279,230$292,150

Earnings subject to FICA taxes (taxable wage base)

FICA tax20232024
Maximum annual earnings subject to Social Security taxes$160,200 $168,600
Social Security and Medicare combined tax rate15.30%115.30%1
OASDI portion (Social Security)12.40%12.40%
Hospital Insurance portion (Medicare)2.90%12.90%1

1 An additional Medicare (HI) employee contribution rate of 0.9% (for a total employee contribution of 2.35%, and a total combined Medicare contribution rate of 3.8%) is assessed on wages exceeding $200,000 ($250,000 for married couples filing joint returns, $125,000 for married individuals filing separate returns). For married individuals filing joint returns, the additional 0.9% tax applies to the couples combined wages (to the extent the combined wages exceed $250,000).

Health insurance deduction for self-employed

Health insurance premiums20232024
Deduction for health insurance premiums paid by self-employed persons100%100%

Qualified transportation fringe benefits

Qualified transportation fringe benefits20232024
Commuter vehicles and transit pass monthly exclusion amount$300$315
Qualified parking monthly exclusion amount$300$315
Qualified bicycle commuting reimbursement fringe benefit (monthly amount)N/AN/A

Section 179 expensing

Section 179 expensing 20232024
Maximum amount that may be deducted under IRC Section 179$1,160,000$1,220,000
Deduction reduced by the amount by which the cost of §179 property placed in service during the year exceeds this amount$2,890,000 $3,050,000

Small business tax credit for providing health-care coverage

Amount of credit20232024
Maximum credit percentage50%50%
Partial credit20232024
Number of full-time equivalent employees (FTEs) fewer than:2525
Maximum average annual wages less than:$61,400$64,800
Full credit20232024
Number of full-time equivalent employees (FTEs) no more than:1010
Maximum average annual wages less than or equal to:$30,700$32,400

Special additional first-year depreciation allowance

Bonus depreciation20232024
"Bonus" depreciation for qualified property acquired and placed in service during specified time periods80%60%

Standard mileage rate (per mile)

Business use of auto20232024
Use of auto for business purposes$0.655$0.67
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Advisory Services Offered Through PCA Investment Advisory Services, Inc.
Securities Offered Through L.M Kohn & Company 10151 Carver Road, Ste. 100., Cincinnati, OH 45242
Member FINRA/SIPC And a Registered Broker-Dealer not affiliated with PCA Investment Advisory Services, Inc.

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