My Dollar Plan 2011 Tax Calculator for Income Tax Planning

The 2011 tax calculator is finally here, even though we still don’t know exactly what the current tax brackets ^[1] will be.

The Tax Foundation has a 2011 tax calculator ^[2] that helps you project your 2011 income taxes based on all the options Congress is considering.

The 2011 tax calculator has 4 scenarios based on what Congress decides to do:

Bush tax cuts expire in 2010 ^[3].
Bush tax cuts are extended into 2011, supported by Republicans.
Obama tax cuts based on President Obama’s budget extending tax cuts for families making under $250k ($200k for individuals) and limits on itemized deductions.
Modified Democrat tax cuts based on Obama’s plan without limits on itemized deductions introduced last week.

The tax foundation outlines all of the tax parameters ^[4] used to build the calculator so you can see where they make their inferences.

It includes 2011 tax scenarios for capital gains tax rates ^[5] and many of the items included in the expiring Bush tax cuts ^[3].

You can check out the calculator at www.MyTaxBurden.org ^[2] for your income tax 2011 planning.

The tax calculator also includes the AMT exemption ^[6] amounts; there is not a separate AMT tax calculator.

We’re currently planning for 2011 taxes ^[7] with various scenarios based on whether or not the Bush tax cuts expire.

With the 2011 tax calculator available, it should simplify some of the calculations, like when you should pay taxes on your 2010 Roth conversion ^[8].