R1 Adjustments

Question 1

Educator Expenses

Answer 1

Single 300
Married 600 (Both must be eligible for this expense if not it would stay at 300)

To be eligible must be a kindergarten - 12th grade teacher and work in the school for 900 or more hours in the school year.
Expenses include anything that has to do with teaching or improving your profession.
Do not include home schooling expenses.

Question 2

Student loan interest

Answer 2

Limited to $2,500 of interest
A dependent cannot claim this adjustment
This only applies to loans that are used directly for education expenses

Phase out
More than 95,000 for unmarried
More than 195,000 for married

Question 3

Health savings account

Answer 3

Cover health costs up to
$4,150 for individuals and up to
$8,300 for families

Question 4

Moving costs

Answer 4

Military personnel that are in active duty

Question 5

Penalty on early withdrawal of savings

Answer 5

Deductible

Question 6

Alimony

Answer 6

Alimony paid is a deductible if settled fore 2018

Question 7

Attorney fees paid in discrimination cases

Answer 7

Limited by the amount claimed as income from the judgment.

Question 8

IRA Contributions

Answer 8

All these are the lowest of either the limitation or the net income.

Umaried under 50 years old $7,000
Umaried Over 50 years old $8,000

Married under age 50 14,000 or 7,000 each
Married over age 50 16,000 or 8,000 each

Question 9

Adjustments for self-employed taxpayers

Answer 9

Contains

50% of self-employed tax
Self-employed health insurance
Self-employed retirement plan contribution (Non Roth)

Maximum contribution =

For SEP Lessor of
(20%self employment net income) - (50%self employment tax deduction)
or
$69,000

For Simple IRA
(100%self employment net income) - (50%self employment tax deduction)
or
$16,000

For Solo 401k

20%self employment net income) - (50%self employment tax deduction)
or
$69,000