Up until the end of 2017, I've been pretty much just blindly following TurboTax for my tax returns, not really caring that much about specifics since I was single and comfortable. Now that I married and we have a child on the way, I am really hoping to get a second opinion on my taxes. My wife doesn't currently work fwiw.
For federal taxes, this puts 19,050 @ 10% and 38,710 @12%, for a total tax of $6,550. With the child tax credit, this would go down to $4,550. Seems pretty low: 4,550/106,000, about 4.2% of gross income going towards federal! I paid a crapton more last year at the old rates as a single guy with no kids.106,000 Gross Income
- 6,900 HSA Contributions
- 7,800 Health Insurance Premiums
91,300 (SS/Medicare Wages)
- 9,540 401k Contributions
81,760 Adjusted Gross Income
- 24,000 Standard Deduction
57,760 Taxable Income
Any strategies in this situation? Should I be looking at plowing money into a traditional IRA for myself/my wife? Or would a Roth be better for myself, traditional for my wife?
Any other deductions, credits, tricks etc. that I am overlooking? I live in MN fwiw but I'm trying to get my federal tax straightened out first.