quicken tax planner - fictional tax rate - bug?
quicken tax planner - 2024 tax year - projected values
i was some running some scenarios with enormous roth conversions, resulting in high taxable income
one result, in the "tax summary" section, displayed a 28% marginal tax rate - but in 2024 there is no 28% bracket (not until after 2025 if the TCJA sunsets will there be a 28% bracket). i think it should have been 24%
quicken version R54.16, build 27.1.54.16, windows 10 enterprise
Comments
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Please see the linked discussion (click the date to see the whole discussion). The rate displayed is not a bracket rate, it is the rate that will be applied to the next $1 of regular income. Most often the bracket rate will appear but there are a couple of scenarios when the Net Investment Income Tax (NIIT) and/or the 0% LTCG/QDI rate thresholds cause income to shift into other rate buckets. At first, I didn't like the idea but came around to the view that it is helpful to know what rate the next dollar will be taxed at particularly when evaluating different scenarios like a Roth where the amount converted kicks you into the NIIT.
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