Susan E. Thomas CPA
Newsletter
Higher Education Figures At-a-Glance



2017 2018
Coverdell education savings accounts

Annual contribution limit $2,000 $2,000
MAGI phaseout range for Coverdell education savings accounts:

Single--phaseout threshold amount $95,000 $95,000
Single--completed phaseout amount after $110,000 $110,000
Married filing jointly--phaseout threshold amount $190,000 $190,000
Married filing jointly--completed phaseout threshold amount $220,000 $220,000
Deduction for qualified higher education expenses

Maximum deduction $4,000 N/A
MAGI maximum for full $4,000 deduction:

Single $65,000 N/A
Married filing jointly $130,000 N/A
Reduced deduction available $2,000 N/A
MAGI range for $2,000 deduction:

Single--MAGI greater than this amount $65,000 N/A
Single--MAGI does not exceed this amount $85,000 N/A
Married filing jointly--MAGI greater than this amount $130,000 N/A
Married filing jointly--MAGI does not exceed this amount $160,000 N/A
Education loans--interest deduction

Maximum deduction for interest paid on qualified education loans $2,500 $2,500
MAGI phaseout range:

Single--phaseout threshold amount $65,000 $65,000
Single--completed phaseout amount after $80,000 $80,000
Married filing jointly--phaseout threshold amount $135,000 $135,000
Married filing jointly--completed phaseout threshold amount $165,000 $165,000
Gift tax exclusion

Annual gift tax exclusion--single individual $14,000 $15,000
Annual gift tax exclusion--joint gift $28,000 $30,000
Lump-sum gift to 529 plan--single individual $70,000 $75,000
Lump-sum gift to 529 plan--joint gift $140,000 $150,000
American Opportunity and Lifetime Learning Credits

Maximum Lifetime Learning credit $2,000 $2,000
Maximum American Opportunity credit $2,500 $2,500
MAGI phaseout range for Lifetime Learning credit:

Single--phaseout threshold amount $56,000 $57,000
Single--completed phaseout amount after $66,000 $67,000
Married filing jointly--phaseout threshold amount $112,000 $114,000
Married filing jointly--completed phaseout threshold amount $132,000 $134,000
MAGI phaseout range for American Opportunity credit

Single--phaseout threshold amount $80,000 $80,000
Single--completed phaseout amount after $90,000 $90,000
Married filing jointly--phaseout threshold amount $160,000 $160,000
Married filing jointly--completed phaseout threshold amount $180,000 $180,000
Kiddie tax

Generally, children pay federal income tax at their parents' rate on any investment income over ... $2,100 $2,100
U.S. savings bonds--interest exclusion for higher education expenses

Joint returns:

Phaseout threshold for joint returns $117,250 $119,550
Completed phaseout amount after $147,250 $149,550
Other returns:

Phaseout threshold for other returns $78,150 $79,700
Completed phaseout amount after $93,150 $94,700



Prepared by Broadridge Investor Communication Solutions, Inc, Copyright 2011