HIVE TAX AI
Lotus Li
Lotus Li is a CPA who has transformed 20 years of professional experience into building products with a mission to simplifying everyone’s tax journey. She is passionate about bringing cutting-edge AI into the world of tax and finance and is deeply immersed in designing, building, and launching innovative AI-powered tax solutions.
What is the maximum 401(k) catch-up contribution at age 50+?
For 2025 only, if you turn age 60, 61, 62, or 63 in 2025 and your plan permits it, the 401(k)/403(b)/governmental 457(b) catch-up limit is $11,250 instead of $7,500.
How much earned income triggers Social Security tax in 2025?
Wages and net self-employment earnings are subject to the 6.2% employee Social Security tax (12.4% for SE tax) up to the annual wage base of $176,100 for 2025.
Are my stimulus payments or child tax credits taxable this year?
Not taxable. Economic Impact Payments (stimulus) are advance payments of a refundable credit and are not included in gross income.
What forms do I need to file for common deductions?
Below are the most commonly claimed deductions and the forms or schedules you typically use to claim them on an individual return.
How do I calculate my marginal vs. effective tax rate?
The marginal rate is the percentage youâd pay on the next dollar of taxable income. Itâs determined by the tax bracket your last dollar falls into (and can be affected by phase-ins/phase-outs and other surtaxes).
How do I determine whether to itemize deductions or take the standard deduction?
Calculate your allowable itemized deductions on Schedule A (medical, SALT taxes, mortgage interest, charitable gifts, casualty losses in federally declared disasters, etc.)
IRS Clarifies How Employees Can Claim 2025 Tip and Overtime Deductions
The Internal Revenue Service (IRS) recently released guidance explaining how employees can claim 2025 tax-year deductions for qualified tips and qualified overtime compensation
IRS Releases New Guidance on Tip & Overtime Tax Deductions for 2025: What Employees Need to Know
The IRS has released updated 2025 guidance on how employees can claim tip deductions, overtime deductions, and related payroll adjustments
IRS Targets Crypto âTax Cheatâ Loopholes: New Crackdown Begins With 2025 Filing Year
The IRS is launching a major enforcement campaign against a widely used crypto âtax cheatâ starting with the 2025 filing year, increasing scrutiny on digital asset transactions
How do foreign bank account reporting (FBAR) rules change?
The filing threshold remains $10,000 in aggregate across all foreign financial accounts at any time during the calendar year. FBAR is required