2026 Income Tax Increase

Back in 2017, the Tax Cuts and Jobs Act brought significant tax reductions, but they're set to expire at the end of 2025. That's right around the corner, folks. Despite all the talk, the law of the land states that tax rates will revert to 2017 levels unless Congress acts fast, which, let's face it, is unlikely. Join Hans Scheil and Tom Griffith as they break down the current tax brackets, explore potential strategies, and shed light on how these changes could impact your financial future. From Roth conversions to estate planning, we've got you covered.
Questions? Email us at [e-mail], call us at [phone], or visit our website at cardinalguide....
Show Notes: cardinalguide....
H E Scheil & Associates doing business as Cardinal Advisors holds an insurance license in all 50 states and DC. Listed below is the license # in each individual state. Alabama 675461, Alaska 100118081, Arizona 1800012348, Arkansas 100104794, California 0K32569, Colorado 464622, Connecticut 2463129, Delaware 1119857, DC 2887040, Florida L087124, Georgia 159539, Hawaii 445296, Idaho 507076, Illinois 100333675, Indiana 721739, Iowa. 1002056691, Kansas. 272705345, Kentucky 738674, Louisiana 614407, Maine AGN249408, Maryland 100048542, Massachusetts 2006645, Michigan 0104206, Minnesota 40411912, Mississippi 15016382, Missouri 8325733, Montana 100126008, Nebraska 100224332, Nevada 1007341, New Hampshire 2315847, New Jersey 1557889, New Mexico 1800010640, New York 1382342, North Carolina 1000092550, North Dakota 2000136230, Ohio 1028975, Oklahoma 100190853, Oregon 100237062, Pennsylvania 589318, Rhode Island 2309277, South Carolina 1907911784, South Dakota 10017719, Tennessee 2252224, Texas 1963111, Utah 513447, Vermont 1038574, Virginia 129027, Washington 864498, West Virginia 100107166, Wisconsin 100192273, Wyoming 275179

[@edsterling5258]

Kudos for discussing the fact that the bracket Income Thresholds get inflation adjusted each year, and that when we return to the 2017 Percentage Brackets, the threshold borders won't be exactly as they stood in 2017. I watch a LOT of financial YT channels and it amazes me that no one else discusses this. Well done!

[@monicaj3023]

FYI~. The bill was signed into law by President Donald Trump on December 22, 2017.

[@tr3vorb438]

And president Biden has promised to let it sunset if he’s re-elected 😳

[@chumbawumba1959]

@@tr3vorb438 Yep, because POS Biden is beholden to all of the CA and NY high income elites who want their SALT (State and Local Tax) deductions put back so the rest of us can subsidize their Federal Income Tax bill!!! #Trump2024

[@Satjr35031]

No he will not let it sunset

[@tr3vorb438]

@@Satjr35031 a simple search will inform you of Biden's plans to let them sunset.

[@user-oy4qp9pq6i]

@@tr3vorb438He has promised to increase the capital gains tax to 45%.

[@OxygenThiefYT]

To think we rebelled over a 2% tax rate on tea...

[@77magicbus]

You guys have the same conclusion as David Mcknight. Better convert now rather than chance it that rates won't go up. I agree with both of you. I am converting over 900k over the 4 years 2022,2023,2024, 2025. I am glad I started it when I did. Maybe I should have done some earlier , but glad I did what I did.

[@Paul-GrnHil]

Great video for tax planning. I have been maximizing my Roth conversion since I retired and will through 2025. Another consideration besides the higher rates is that the high standard deduction will get reset and many will have to start itemizing again. If you are mortgage free, and live in a tax free state, you will likely see your taxable income increase due to the lower standard deduction.

[@EdNichols-qj4xk]

Agreed, this is something that I think will affect the amount of taxes more so than the actual tax rate increase. Most retirees don’t have still a mortgage therefore very little deductions to help reduce taxes.

[@larryjones9773]

Exemptions will return as well in 2026, which reduce taxable income.

[@toddmaniatoddmania9844]

Congress has their own interests in mind. That’s a starting point.

[@dtovar2]

Thank you for a great video and presentation. Your table was very effective! I'm almost done converting my pre-tax funds in my 401k account. Your arguments and recommendations are valid. Thank you again!

[@thomasstorrs6345]

ALL taxes State Federal and local will increase significantly in the years moving forward.

[@bradb613]

as they should

[@johnd7304]

Any reason why you haven’t discussed using life insurance to give to the kids and gifting the qualified money to charity in a non-advised donor fund? Then no one pays tax on the bulk of the money. Pull amounts from QM to pay premium but not more. When RMD time happens use the QCD to gift the excess RMD. I have done this a number of times with my clients.

[@jefflloyd394]

Like the board instead of a screen, must be getting old. You can create a roll over window between retirement and SS. Taking SS later is best longevity insurance, but also gives bigger window. Nice window after retirement but before IRMA (63) also. I also like a roll over as a hedge against a bear. I will not roll over any this year or probably next as still working, but I will do if the market tanks - move more for less basically. Thanks

[@EFudd-lu6ji]

Really helpful advice - thank you for putting this together 🙂

[@junkmail1262]

Very informative! Thank you.

[@radioactivemike1]

Wouldn’t good advisors see this tax law in 2018 and position clients to follow a best course to 2026? Sure see lots of talk about making conversions quickly because the pending change. It’s rare to see tax law extended out years. Thanks for the nice breakdown of what we already knew for more than half a decade.

[@davidfolts5893]

Great content, thanks, Cardinal Advisors!

[@whtmmat]

You did show HOH. HOH got screwed with the 2017 cut.

[@danieljustdaniel9550]

Taxes let's start working on saving social security also members of congress.

[@factchecker9358]

And lack of compromise in this case aids those who need some excuses to raise taxes across the board. It's easier to do that than whine about the need for broader tax increases on the middle class for national debt.

[@BigBrotherMotown]

I don't think it was a "significant tax cut for everybody"....the majority of that CUT went to very wealthy people.

[@spatulalegs]

as always fuck rich people

[@bradb613]

exactly!

[@danc2014]

This may not be just income, it may be your long term investments too. no more discount taxes.

[@bradb613]

good

[@KatieLibby1315]

It was a calculated long-term tax cut for the rich and a short term tax cut for the rest of us. It is also the main reason our deficit is so high.

[@Legendary_UA]

Never forget the Vegetable in Chief is coming after your unrealized capital gains as well.

[@bradb613]

as he should

[@SaraGriggs-jl6dp]

Can I ask your fee for telephone advice?

[@CardinalAdvisors]

The first meeting is no charge. After that either $150/hour or $1000 for a financial plan. I prefer ZOOM. To schedule, contact Tomasina or Tanya at 919-535-8261.

[@chumbawumba1959]

@@CardinalAdvisors That you provided that info transparently and out in the open is fantastic!!! You guys are awesome :)

[@joethecomputerguy1]

Keep workin' baby! I retired at 52 as they kept wanting more and more. So glad I did. 8 years ago I retired and haven't paid a dollar in income tax. Keep workin'. Folks like me love y'all. Show me more free money! Love love love it!!!!!!!!!!!!

[@jerihillken]

Changing rates does not definitely mean a higher tax bill. Many people were hurt by the increase in the std deduction and the elimination of the personal exemption in 2017. While some will see higher taxes if there are no changes in 2026, some people’s tax bill will decline.

[@Satjr35031]

I beg to differ but that is not correct

[@RiverRev]

It's my money so it isn't "Free"

[@candicosens8178]

New that the money was not free

[@timbateman6767]

Or cut

[@generator6946]

Some of KZbin stuff is downright funny! So yeah income tax. Oh wait, zero tax on zero income. Until conservatives work hard for minimum wage there is no solution.