529 Plans Expanded and New Caps

In this episode of Retire with Style, Alex and Wade break down the key tax changes coming in 2026, including the return of standard ACA subsidies, the extension of current tax rates, and updates to standard deductions. They cover inflation-related adjustments, itemized deductions, charitable giving rules, estate tax exemptions, and what the alternative minimum tax means for retirees. The conversation also explores the new Trump accounts launching in July 2026 and wraps up with a lighthearted discussion on New Year’s resolutions. Listen now to learn more!

Takeaways

• The ACA subsidies are reverting to pre-2021 levels in 2026.
• Tax rates remain unchanged from previous years, providing stability.
• Standard deductions continue to be higher, affecting itemization rates.
• Inflation adjustments will impact the thresholds for tax brackets.
• Charitable contributions now have a deduction floor based on AGI.
• Estate tax exemptions are increasing significantly for 2026.
• The alternative minimum tax may affect more high-income earners.
• 529 plans have expanded eligible expenses for education.
• Trump accounts will allow contributions for minors starting in July 2026.
• New Year's resolutions can be a time for reflection and planning.

Chapters

00:00 Welcome to 2026: New Beginnings
02:13 Affordable Care Act Changes
07:25 Tax Rates and Standard Deductions
09:16 Inflation Adjustments and Tax Planning
11:34 Itemized Deductions and Charitable Contributions
20:32 Estate Tax Exemptions and Business Income
24:44 Alternative Minimum Tax and 529 Plans
28:19 Trump Accounts and Future Planning
29:42 New Year Reflections and Resolutions

Links

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This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips