Nov 172015
 
Wealthy Americans: reduce your exposure to the 3.8% tax on unearned income

Also called the unearned income Medicare contribution tax or the net investment income tax; this tax impacts more taxpayers than you might think. This tax applies to individuals, estates and trusts. You should note that this tax is a surtax so it is a second level of taxation in addition to the regular taxes that Americans have been paying. The surtax is calculated as 3.8% of the lesser of your net investment income or the excess of the modified adjusted income over a threshold of $250,000 for joint filers and surviving spouses. ($125,000 for married folks filing separate returns and More…