The Mountain Maryland Gateway to the West Heritage Area Maryland Heritage Area was notified that one of the Garrett County projects on the reserve list was awarded funding by the Maryland Heritage Areas Authority (MHAA). Garrett College Foundation was awarded a project grant for $100,000 for the development of the Garrett College to Ag Hall Heritage Trail.
“In July, the Town of Oakland received funding for the Oakland Heritage Trail and the Chamber was awarded a Heritage Area management grant totaling $129,631 so we were thrilled to receive additional funding from the reserve list this year,” said Kim Folk, Heritage Area & Groups Director for the Chamber. “That brings the FY20 grand total of MHAA grant funding to $229,631 for the Mountain Maryland Gateway to the West Heritage Area. These grants will allow the recipients to expand awareness of Garrett County’s historical and cultural heritage.”
The Ag Hall Heritage trail will provide locals and visitors a trail from Garrett College to the Agriculture Heritage Hall at the Fairgrounds, both located on Mosser Road. This trail will connect the two largest event venues in the county as well as adding to the county’s already growing and extensive trail system. Interpretive signage will be included along the route. “We are so pleased to have the support of Maryland Heritage Areas Authority for the Mosser Road Heritage Trail project. The trail will provide a connection to, and even greater visibility of, multiple heritage assets in the McHenry area.” Said Kearstin Hinebaugh, Grants Administrator with the Garrett College Foundation.
MHAA awarded 13 additional matching project grants from the reserve list totaling over $550,000. The funds were awarded to Maryland nonprofit organizations, local jurisdictions and tourism groups. The grants fund historic preservation, natural resource protection and educational programs in 13 state-designated Heritage Areas. By supporting projects and educational activities, the grants spawn renewed interest in Maryland culture from residents and visitors, boosting tourism-related jobs.
The Mountain Maryland Gateway to the West Heritage Area has secured more than $1.4 million in funding from MHAA over the last seven years.
This month marks the 20th anniversary of the opening of the first Judy P. Hoyer Center Early Learning Hub (Judy Center) in Maryland, at Cool Spring Elementary in Prince George’s County. Thirteen additional centers opened across the State during the following year, and there are now 53 Judy Centers throughout Maryland.
The Maryland State Department of Education (MSDE) will mark this yearlong anniversary with a series of celebrations honoring each of the original 13 sites, beginning on December 13th at the Adelphi Judy Center at Cool Spring Elementary. Each site will hold community events, share activities on social media, and recognize families and partners for their support over the years.
Judy Centers are located in Title I schools and have become an integral part of Maryland’s early childhood learning system, providing efficient coordination between early childhood education and support services. They are essential in directing critical services and resources to families with the greatest needs. Judy Centers also help build bridges between early childhood programs and the local schools, facilitating continuity of care and seamless transitions for families.
“Judy Centers are dedicated to the needs of low-income families and demonstrate the value of strong collaboration in communities,” said Dr. Karen Salmon, State Superintendent of Schools. “It is through these partnerships that we make the biggest impact in the lives of young children and families.”
While serving as Early Education Coordinator for Prince George’s County Public Schools in the 1990s, Judith P. Hoyer lamented the gaps in available services for low-income families. To better support families, she created a central hub in Adelphi, Maryland, for important early childhood services, fostering cooperation of governmental and private agencies around the needs of local families. After her death in 1997, her husband, Congressman Steny Hoyer (D-MD), led a successful campaign to bring her model of public-private partnerships to fruition as a statewide program named in her honor.
For more information on Judy Centers, visit Judy Centers. To learn more about the Garrett County Judy Center, contact Barbara Unger 301-334-4211 bunger@garrettcac.org.
The weather today will be rain or freezing rain before noon, then a chance of rain. High near 37 and a low around 34.
Saturday will be rain before 2pm, then rain and snow. High near 40 and a low around 29. South wind 5 to 10 mph becoming west 12 to 17 mph in the afternoon. Winds could gust as high as 28 mph. New snow accumulation of less than a half-inch possible.
Sunday will be snow showers mainly before 7am. High near 32 and a low around 24. West wind 14 to 18 mph, with gusts as high as 30 mph.
By authority of Maryland State Police McHenry Barrack, and Maryland State Highway Administration, the Snow Emergency Plan is In Effect for Garrett County, Effective 0900 hours, Friday, December 13, 2019.
The following State Highways in Garrett County have been designated Snow Emergency Routes:
It’s Wisp’s opening day! The lifts will be open 9am – 9pm today and the Mountain Park will offer Snow Tubing and the Mountain Coaster from 1pm – 8pm. Here’s the first chair photo (courtesy of the Wisp and just like a first day of Kindergarten photo!)
The Garrett College Wildlife Club is selling 2020 calendars for $10 each featuring wildlife photos that were taken by the Natural Resources and Wildlife Technology (NRWT) students across the country. All proceeds support the Wildlife Club; contact Kevin Dodge at 301-387-3328 or kevin.dodge@garrettcollege.edu.
Garrett County’s High School Robotics Team 1629, GaCo, will celebrate National Hour of Code week by hosting its twelve annual FIRST LEGO League (FLL) qualification tournament at Northern Garrett High School on Saturday, December 14, 2019. Fourteen teams from Garrett County will be competing for top spots to advance to the Maryland State FLL Championship. As with all FIRST Robotics competitions, the tournament is free and open to all. During the day, teams will be competing with their EV3 LEGO…
The Oakland Express at the B&O Museum is a free event for children ages 4-9. Crafts, Snacks, and Santa! Reservations are required – (301) 334-2691.
The Garrett County Adolescent Wellness Group of the Garrett County Health Department is requesting help to identify needs in our community through a survey. Only available for adolescents or parents/guardians of 6th-grade level or higher students; it should take 1-3 minutes to complete.
The Dec 11 Fishing Report: “Fishing for a mix of walleye and yellow perch is good along some of the steeper and rocky shorelines of Deep Creek Lake. Live minnows are one of the best baits to use whether under a slip bobber or drifting in a boat. Casting crankbaits from shore in the evening hours is a great way to catch walleyes.”
The Tundra Swans are still hanging out at Deep Creek — Vicki Schwinabart was able to share this close-up she took yesterday!
SAVE THE DATE: Becoming an Outdoors-Woman Weekend Workshop will be held in Garrett County on August 7 -9. This is an outdoor skills workshop specifically for women — classes are designed to be as hands-on as possible, giving participants enough knowledge to further pursue their interests once the workshop is over.
The weather today will be mostly sunny with a high near 24 and a low around 15. West wind 14 to 17 mph.
Cynthia C. Farmer shared this video — very cool!
Wisp Resort is gearing up for their opening day and offering Misson: Four-dable passes! This is four unrestricted lift passes for $209.
Trout Stocking Activities have been posted — Youghiogheny River was stocked with 900 fish on December 3, 2019.
A gallery of Rural Opportunity Maps was just released — allowing anyone to find insight and opportunity related to small-town America. There is a map defining rural, opportunity zones, healthcare, etc. It’s interactive and pretty neat to delve deeper into Garrett County insights.
The weather today will be rain before 2pm, then rain and snow showers likely between 2pm and 4pm, then snow showers likely after 4pm. Temperature falling to around 32 by 5pm. West wind around 16 mph. Little or no snow accumulation expected during the daytime and snow accumulation of less than a half-inch possible overnight.
Tolliver Falls looks beautiful in this photo shared with us by Anthony Miller:
The MD Wildlife and Heritage Service will be raffling off the opportunity for two people to accompany wildlife professionals into the field as they visit a black bear den in March 2020. Raffle tickets are 1 for $5 or 3 for $10. All proceeds will be donated to the Dove Center (here in Garrett County) to provide support for victims of domestic violence; and the Ulman Foundation to support adolescent and teen cancer patients. You may give electronically via Venmo@ppeditto or Paypal using the friends and family option to: labsandcrabs@comcast.net. Winners will be drawn on/about December 16.
The next Garrett County Commissioner public meeting will be on Tuesday, December 17, 2019 at 6:00 p.m. at the Garrett College – GIEC – Room 111. After the Public Meeting, the Board of County Commissioners will conduct its annual County Update review.
There will be a Wilderness First Responder (WFR) class held at Garrett College beginning Tuesday, January 7 and ending on the 15th, from 8 AM – 6 PM each day. Please register with Sharon Elsey at sharon.elsey@garrettcollege.edu by December 18.
3-Free-Learn-to-Ski is Back at Wisp Resort! The package includes a Learning Area Lift Ticket, Ski or Snowboard Equipment Rental, and Group Lesson available on Saturday, December 14 through Sunday, December 22, 2019 9am – 3pm. Registration is only available online at: https://shop.wispresort.com/ (at least 48 hours in advance) and guests must select 3 different dates. The Reservation Fee is $5.
For graduates of the school, Wisp will offer a $299 19.20 Winter Season Pass and a $199 seasonal equipment rental.
On Saturday, December 7, 2019 Garrett County hosted the 4th Annual Police Providing Presents event. Volunteers from all five (05) Garrett County law enforcement agencies along with the Garrett County Department of Social Services, Garrett County Board of Education, Garrett County Health Department and AmeriCorps partnered together to help make the event possible.
The nationwide event may be called different names, but the event meaning stays the same. The event provided selected children through Garrett County Schools the opportunity to be paired with members from the Maryland State Police, Garrett County Sheriff’s Office, Maryland Natural Resource Police, Oakland City Police and the Maryland State Fire Marshal’s Office who spent the day as partners.
The event started by the officers picking up their partner for the day, shopping for gifts at the Oakland WalMart, and attending a luncheon with activities at the Garrett County Fairgrounds. The activities included vehicle (police, fire truck and ambulance) demonstrations, ornament building, cookie decorating and interacting fun games. The gifts were wrapped during the activities by volunteers for the children to take home to their families.
We would like to give a special thanks to Oakland Walmart, Garrett County Fair Board, Crossroads Church, Deep Creek Fire Department, Garrett County Emergency Services, Little Caesars (Grantsville), Ledo Pizza, Pizza Hut, Subway (Oakland Walmart), Arrowhead Market, McDonald’s (Oakland City), Wisp Resort, Funland, Bricingarde Excavating LLC, MSP Cumberland Explorers Post 52, Maryland State Highway Administration, event volunteers and all of the citizens, businesses and churches who made donations to the program. Without the generosity of all involved the event would not have been possible.
The annual Police Providing Presents event was again a great success. Those wishing to donate for next year’s event scheduled for Saturday, December 5th, 2020 can make donations in the form of checks or money orders to Garrett County Department of Social Services (GCDSS), 12578 Garrett Highway, Oakland, Maryland 21550 and specify “Police Providing Presents.” Although the preferred method is checks or money orders, cash donations are acceptable and can be dropped off in person at GCDSS.
Refer to the following list of businesses/churches who donated to this year’s program. Individual donors were not listed for their privacy.
AEI Builders LLC
Allegany Hearing and Balance
Automotive Machine
Beechwood Coal, LLC
BYCO Enterprises, Inc.
Christ Lutheran Church
Crossroads Church
Custom Thredz
Deer Park Sportsman’s Club
Dental Health Group (Oakland) William R Yant D.D.S.
First Peoples Bank
Four Seasons Stitchery Inc.
Garrett County FOP Lodge 99 Inc.
Garrett Containers
G&W Lumber
Glotfelty Tire
Grantsville Equipment Company LLC
Grantsville Fire Department
Hoyes United Methodist Church
Mountain Top Cruisers
Oak Grove Church of the Brethren
Oakland MRI Center LLC
Patriot Chrysler Dodge & Jeep
Penn Alps
Proctor Kildow American Legion
Ritchie Trucking & Excavating, Inc.
Rush Services, Inc.
Slopeside LLC
Southern Middle School, 8th Grade Team
Total Biz Fulfillment
Total Teazin Salon LLC
Town of Oakland
Oakland Walmart
Woodman of the World.
The weather was cool, as expected, but not at all bad this weekend. Today’s weather will be rain, mainly before 5pm. High near 51 and a low around 46.
Wisp Resort has announced its opening date: This Friday, December 13!
Here’s a little bit of Yuletide “hearth history” from the Wall Street Journal of all places. While yule log videos are now a part of many folks’ holiday traditions, they started way back in 1966! That year WPIX launched the first “The Yule Log,” a 17 second, somewhat jittery 16mm film loop that was broadcast to New Yorkers seeking a TV-sized “fire.” I (Mike) remember it fondly.
I recently had an opportunity to purchase a great book from fellow Deep Creek Lake Lion, Ed King. Ed has done a superb job documenting Deep Creek lake history with his latest book: Deep Creek Lake: the Founders. It is chock-full of information and fun-facts and is worth a read. To obtain more information about his signings or how to purchase his book, email edjeanking@verizon.net or call 301.616.5702. It would make a great gift for someone that loves the lake area and/or history!
Ed King’s latest book
Congratulations to FTC team 2818 G-FORCE! At the West Central Pennsylvania Qualifier Tournament this weekend, they ended the day as the finalist alliance and won the top award: The Inspire Award. They are also qualified for the Pennsylvania State Tournament on March 1st.
End of the line: The Garrett County Department of Solid Waste & Recycling has announced the holiday schedule for the landfill and six waste collection sites:
All locations will close at Noon on Christmas Eve, December 24, 2019
All locations are closed all-day on Christmas Day, December 25, 2019
All locations are closed all-day on New Year’s Day, January 1, 2020
All locations will be open on Martin Luther King, Jr. Day, Monday, January 20, 2020
The holiday waste collection schedule is also included on the county calendar located on the Garrett County Government website homepage at www.GarrettCounty.org. For additional information, please contact the Solid Waste & Recycling office at 301.387.0322.
Have a great start of the week folks. And, please be Merry!
The weather today will be rain likely after noon, mixing with snow after 4pm. Cloudy, with a high near 43 and a low around 22. West wind 11 to 15 mph, with gusts as high as 30 mph. Chance of precipitation is 70%. Little or no snow accumulation expected.
But isn’t it “…red in the morning, sailors take warning…” ? Because, look at this — Just spectacular views from the Railey Realty webcam this morning — scroll down the “other area webcams” page to see several views around Deep Creek Lake, MD and Garrett County.
The rest of the weekend looks to be partly sunny. Saturday will have a high near 34 and a low around 23. Sunday will have a high near 41 and a low around 32. Rain and snow showers likely after 1am; new precipitation amounts of less than a tenth of an inch possible.
2019 Christmas Charity Tour of Homes is this evening from 4:00 pm – 9:00 pm and only $10. Proceeds from this tour will benefit Garrett County Habitat for Humanity.
It’s Christmas in the Village — stroll through the Spruce Forest Artisan Village listening to live music and browsing the selection of artists and vendors located throughout the Village and the Great Hall of the Penn Alps Restaurant. Food, crafts, a scavenger hunt, free popcorn, and apple cider and more ….
Join the Town of Oakland for A Great Small Town Christmas, December 6th and 7th, 2019. A tree lighting ceremony is tonight at 6pm.
The last night of the annual Joy of Christ Celebration continues tonight. FREE performances, food, and LED light show outside!
Shabby Patina Winter Market is tomorrow! Featuring local crafters and producers, it’s an indoor vendor event. Tell Tina Deep Creek Times sent you!
Be sure to note the following #MDWinterSafetyWeek Winter Driving Tip:
Stopping distance for vehicles will change as the weather worsens. For a car going 35mph, the est. stopping distance is:
・60-100ft on a dry road
・120 ft+ on a wet road
・180 ft+ on a packed snow road
・600 ft+ on an icy road
The weather will be a chance of snow, mainly before 11am. Partly sunny, otherwise, with a high near 31 and a low around 28. West wind around 17 mph, with gusts as high as 30 mph. Total daytime snow accumulation of less than one inch possible.
It was a snowglobe in downtown Oakland last night….
Bill’s Marine will begin taking Summer 2020 Reservations on Thursday January 2nd! 🎉 They are open 8:30am to 5:00pm.
The Future of Hemp in Garrett County is tonight from 7:00 pm – 9:15 pm — Learn more about Garrett County hemp projects including how to grow hemp, the different varieties of hemp, and the production of hemp. Is there a future farming opportunity for Garrett County? The cost is $15 per person
Nominate young people ages six through 17, who are making a positive impact in U.S. Cellular communities as a “Future of Good” winner. Each will receive $10,000 each to put toward a cause they care about.
The 2019 National Preparedness Report highlights the diverse range of preparedness challenges the Nation faces—from terrorism and active shooter incidents, to cyber attacks, to natural disasters, as well as how stakeholders across the Nation are using preparedness grant funding to invest in preparedness improvements.
Western Maryland Farmers were recently featured on MPT’s Maryland Farm & Harvest program. Beginning at 2:08 in the linked video, learn more about how ALL Produce uses the internet to remotely monitor their farm and crops.
National Wireless Carrier Calls for Tri-State Nominations; Pledges $60,000 to Six Youths Bringing Fairness to Their Communities
On Giving Tuesday, U.S. Cellular’s The Future of Good program returns for its fifth consecutive year, to champion and invest in young people who are bringing fairness to their communities. U.S. Cellular is raising awareness for youth causes and increasing their impact through financial contributions.
From December 3, 2019 through April 15, 2020, anyone over the age of 18 is encouraged to visit thefutureofgood.uscellular.com to nominate young people ages six through 17, who are making a positive impact in U.S. Cellular communities. U.S. Cellular will ultimately announce six winners – three in February and another three in May. These six individuals will join the community of over 40 extraordinary The Future of Good winners and receive $10,000 each to put toward their cause. Their stories will also be featured on thefutureofgood.uscellular.com.
“More common today, when youth see something unfair, they do something about it,” said Verchele Roberts, vice president of brand marketing at U.S. Cellular. “The Future of Good program celebrates those that turn an injustice into a positive impact for the community. U.S. Cellular has always been committed to the future of the communities we serve, that’s why we support the next generation of young humanitarians taking a leading approach to create a brighter future.”
To enter, nominators should visit thefutureofgood.uscellular.com and describe the nominee’s cause, how it is helping his/her community and how the nominee could use a cash grant for technology or other means to continue and grow his/her efforts. Nominees must not turn 18 before August 30, 2020.
The holiday season is officially underway and it’s time for parents to balance all-of-the-things: The office party, your in-laws coming to town, the floor scrubbing, mailing the greeting cards, and of course the baking! Now the snow is gently falling, the temperatures are dropping and it’s beginning to look a lot like Christmas!
The history of a meeting with Santa dates back to about the beginning of the 1900s. The man himself usually makes his appearance at Deep Creek after the Thanksgiving holiday and stops at various locations throughout the county until December 25. He provides an opportunity for the children (and adults) to share their wish list and take the annual photo. It’s magical!
Here are the upcoming opportunities to take your photo with Santa at Deep Creek Lake, MD and in Garrett County:
The weather today will be snow showers, mainly after 1pm. A high near 32 and a low around 25. West wind 13 to 17 mph, with gusts as high as 30 mph. Total daytime snow accumulation of 1 to 3 inches possible and overnight snow accumulation of an additional 1 to 3 inches possible.
There is a winter weather advisory in effect from noon today to 9am EST Thursday.
The Union Rescue Mission of Western Maryland, located in nearby Cumberland, is giving away free beds from noon to 6pm. A local hotel that has donated their gently used beds to give to those in need; there are 14 King Beds and 26 Queen Beds to give away. Pick up only, no holds, no deliveries, first come first serve.
Make Your Own Clay Ornaments is this afternoon from 2:00 pm – 8:00 pm at the Ruth Enlow Library in Friendsville. For kids, teens. Celebrate the season by making ornaments with air drying clay, embellish with glitter, sequins, glitter glue. Contact Phone Number: 13017465663
There’s a midweek Holiday Wine Tasting tonight 6:00 pm – 7:00 pm at The Cornucopia Café. Taste four wines that will pair perfectly with any special holiday meal and the spirit of the season. $20 per person — reservations strongly encouraged: call 301-895-8142 and tell them Deep Creek Times sent you! Cheers!
The Garrett County Board of Education will hold its regular monthly meeting next Tuesday, December 10, 2019. The meeting will be held at Southern Garrett High School in the cafeteria. The Strategic Facilities Committee (appointed by the Garrett County Board of Education to develop a long-term facilities plan for the school system) Recommendations and Final Report will be presented at this meeting at approximately 6:15 p.m. The complete agenda can be found here.
The weather today will be a chance of snow showers and freezing drizzle, mainly between 11am and 3pm. Otherwise, cloudy with a high near 30 and a low around 27. West wind around 15 mph, with gusts as high as 26 mph. Chance of precipitation is 30%. Little or no snow accumulation expected.
Here is Corey Friedman’s cabin in the woods yesterday at Deep Creek:
On this “Giving Tuesday”, HART for Animals shares their “Pledge Change” program: “Change is Good; donate your spare change … and save some lives!” Join the HART program to automatically “round-up” and donate your change from everyday purchases!
HOW IT WORKS:
1. Connect a card — First, connect the debit/credit card that you use to make daily purchases.
2. Make Purchases — Purchases on that card will “Round-Up” to the next dollar amount as change.
3. Change is Donated — Your “Round-Up” change will accumulate and be donated at the end of every month! You can set a limit on the amount you donate per month!
This Thursday is “Funds for Friends Day” at the Greene Turtle at Deep Creek to benefit Landon’s Library Youth Basketball. The LLYB will receive 20% of the proceeds raised that night to buy equipment.
Today is the Holiday Open House from 1-8pm at Shentel in Oakland. FREE sleigh rides with Santa, the Hallmark Chrismas movie “Mingle All The Way” next to the fireplace, refreshments all afternoon and special giveaways!
Congratulations to GRMC! Congressman David Trone and other local dignitaries attended a ribbon-cutting yesterday at Garrett Regional Medical Center’s expanded James & Shirley Bailey Regional Cancer Center.
Here we are.. it’s already time to start thinking about your year-end tax planning — our friends and Boal and Associates have shared their newsletter with us:
There were many major changes in 2018 with the tax law overhaul that will continue to have an impact on 2019 and 2020 tax planning. Please take a few minutes and think about your 2019 taxes, while there is still time to properly plan for both 2019 and 2020 and consult with us on your particular situation.
Tax Rates – Planning for your marginal tax rate continues to be the most solid tax planning strategy. For singles, the cut-off from the lowest 12% bracket to the 22% bracket is $39,475 of taxable income (income after deductions). For married filers, the cut-off is $78,950. For income over $510,300 for singles and $612,350 for marrieds, the highest rate bracket is now 37% (formerly 39.6%). Taxpayers whose income exceeds $200K single and $250K married are still liable for an additional 0.9% Medicare tax on wages as well as a 3.8% Net Investment Tax on investment earnings and gains, as these taxes remained in place under the new law.
Itemized Deductions – Many taxpayers are now utilizing the $24,400 (married) or $12,200 (single) standard deduction, however, it is still worth accumulating your itemized deductions just in case you can itemize (medical, state and local taxes, charitable donations and mortgage interest).
Medical Expenses – Medical expenses (to include: long-term care costs) remain deductible subject to the 10% of AGI limitation. Health insurance, Medicare and supplemental insurance are included as part of the Medical Expense package.
Taxes – State and local income taxes, sales taxes and real estate taxes are now capped at an annual $10,000 maximum deduction.
Mortgage Interest – Mortgage interest on a mortgage secured by the principal and/or second residence remain deductible on indebtedness of up to $750,000. ($1,000,000 for homes that were mortgaged prior to 12/16/17 or under binding contract before such date and closed by April 1, 2018). Consider a refinance with the lower interest rates.
Investment Interest – Investment interest expense (i.e., margin interest) remains deductible as an itemized deduction.
Home Equity Interest – Home equity interest is no longer deductible unless it can be proven that the debt incurred was used to buy, build, or substantially improve your home. If you used the home equity line to pay off credit card bills or buy a vehicle or such, the interest is no longer deductible.
Charitable Donations – Charitable donations remain deductible. In order to benefit from the charitable donation deduction, you may want to consider strategies such as moving two years of charitable giving in to one year, donating appreciated stocks, maximizing non-cash contributions, utilization of qualified RMD donations from your IRA, etc. Keep in mind that donations of real property can provide a deduction of the fair market value of the property based upon appraisal. Make sure to contribute appreciated assets and not assets that have declined in value to get the most tax benefit.
Miscellaneous Itemized Deductions – As a part of the tax law changes, it is important to note that certain items that have historically been deductible are no longer deductible: employee business expenses, employee home-office expenses, per-diem expense for employee truck-drivers, tax prep fees, IRA custodial fees, investment-related expenses, safe-deposit box rentals, etc.
Moving Expenses – Moving expenses are no longer deductible with some exceptions for military personnel.
IRS Identity Theft – Identity theft, fraud and scams continue to be at an all-time high. Should you receive a notice from the IRS or a call or email from someone representing they are from the IRS, please DO NOT provide any information to them until you have confirmed they are legitimate (call us). Keep in mind that the IRS does NOT initiate contact via email or telephone.
Expanded Child Tax Credit – The child tax credit was doubled to $2,000 per child and the income limits are drastically higher for the credit phase out at $200K for singles and $400K for marrieds. This applies to children under age 17.
Alimony – For divorces that finalized after December 31, 2018, alimony is no longer a tax deduction to the payor and is no longer taxable to the payee.
Estate Tax and Gift Tax – The federal gift and estate tax exemption is currently set at $11.4 million per person in 2019. The annual gift tax exclusion is $15,000 per year per donee. Gifts in excess of this amount require an annual gift tax filing with the IRS due April 15. Portability is still a major issue to consider.
Required Minimum Distributions on IRAs – Don’t forget that if you are age 70.5 or older, you must take a required minimum withdrawal annually on your IRA, or you could be subject to a 50% IRS penalty for not taking the distribution. If you turned 70.5 this year, you can delay your payout until April 1, 2020.
Qualified Charitable Gifting from IRA – IRA owners over age 70.5 may also make tax-free qualified distributions to a charity directly from their IRA. This is a key planning point under the new tax law as itemized deductions will be harder to achieve and can be a great planning opportunity.
Capital Gains and Qualified Dividends – There remains a huge opportunity for the federal 0% capital gain. This is open to you if you are in the 10% or 12% tax bracket. The 15% rate on both long-term capital gains and qualified dividends remains in effect, if you are in the 22% bracket or above. There is still a higher 20% capital gain rate for taxpayers in the highest tax brackets.
Health Savings Accounts (H.S.A.) – Consider having a health savings account if you have a high deductible health insurance policy ($1,350 or more for singles and $2,700 for families). This can provide beneficial deductions for your out of pocket medical expenses and can be especially beneficial in light of the new standard deduction. The 2019 contribution limits are $3,500 for singles and $7,000 for a family. Contributions must be made by April 15, 2020. Catch-up contributions of up to $1,000 per year are allowed for folks age 55 or older.
Conversions to Roth IRAs – Once again for 2019, traditional IRAs can be converted to Roth IRAs without earnings restrictions. This can be a very solid strategy if you have excess room in the 12% tax bracket to absorb the conversion. If you expect your tax rate to be higher in retirement than the rate you will pay on the conversion, this can be very advantageous.
Solo 401k Plan – If you are self-employed with no employees a “Solo K” can give you the ability to defer up to $56,000 of income per year.
Flexible Spending Accounts – You must deplete your employer-sponsored FSA account out by Dec 31 if your employer hasn’t implemented the 2.5 month grace period or the $500 carryover rule or you will forfeit any money left in the account.
SELECTED BUSINESS ITEMS FOR 2019
Asset Purchases – Bonus Depreciation – Businesses can deduct 100% of the cost of assets with useful lives of 20 years or less that are put in to service during 2019. This includes: machinery, equipment, land improvements and some farm structures. Leasehold improvements to commercial building interiors can be eligible as well. Please note that for state tax – Maryland remains decoupled from this law and depreciates assets differently.
Section 179 Expensing Deduction – For 2019, you may be able to expense up to $1,000,000 of qualifying property placed in service – new or used. The amount phases out as you exceed $2,500,000 in total assets placed in service during the year. Buyers of certain SUVs weighing between 6,000-14,000 lbs can deduct up to $25,000 through this election. Important note: to qualify for a 2019 Section 179 election, the asset must be placed in service (meaning you must physically have it and utilize it for business) by December 31.
C Corp Tax Rates – the C Corporation tax rate is now a flat 21%.
Qualified Business Income (QBI) Deduction – Under the new law, businesses may be entitled to a deduction of up to 20% of their qualified business income from a qualified trade or business. The QBI is very complex and tax planning strategies can directly affect the amount of the deduction, so planning and analysis is of the utmost importance.
For 2019 there is no longer a penalty for not having health insurance.
Consider Hiring Family – If you decide to hire family members, pay a reasonable salary for the work actually performed. You may be able to provide tax-deductible fringe benefits as well as save on payroll taxes. This strategy can be beneficial to shift income to lower tax brackets.
Retirement Plans – Consider setting up a retirement plan for your business – Simple IRA, SEPs, 401(k)s – There are many options and these plans can be key in saving significant tax liability. In certain cases, up to $56,000 of income can be sheltered from taxation through these plans.
Credit Cards – Keep in mind that business expenditures incurred on a major credit card (not a store card) are deductible in the year in which they are incurred.
PLANNING IDEAS: You may be able to reduce your taxes by controlling the payment of deductible expenses and the timing of the collection of income. Several strategies to consider may include:
State and Local Taxes – Pay all state and local income taxes (4th Qtr Estimated Pymts) and full-year real estate taxes prior to the end of the year (by 12/31/19). Postmark validation required.
Maximize your contributions to employer-sponsored retirement plans and IRAs – this one is so important and can be so beneficial from a deduction standpoint.
Education – It may be beneficial to pay 2020 tuition in 2019 to take advantage of the American Opportunity Tax Credit worth up to $2,500 per student to cover the cost of tuition, fees and course materials paid during the taxable year. Form 1098-T is required from the college for the tax filing – typically the student has access to this through the college website.
Charitable Donations. Make year-end donations to qualified charitable organizations. Use your credit card if you wish, or mail your check as late as December 31, 2019. Consider cleaning out and donating clothing and household goods to charity by year-end and keep a list of items and values.
Medical Expenses – Try to bunch medical expenses. For example, trying to pay medical bills in one year bunched together instead of two years can give you a better chance of exceeding the thresholds.
Section 529 – College Savings Plan Contributions must be made by 12/31. Consider a one-time $75,000 gift to a 529 plan for college planning.
Please contact us to see if you have a capital-loss carry-forward from 2018 and make your broker aware of it before year-end for utilization of losses against capital gain income. This can be a key planning strategy.
Keep good mileage logs. The 2019 standard mileage rate for business is 58 cents per mile. Please provide us with copies of your mileage logs for our records as the IRS is requesting these on a frequent basis.
Substance over form. If you receive a W-2 or 1099 with an error..please contact the payor immediately as this can cause issues with the IRS and Social Security.
Plan Beneficiaries – review your retirement plan and life insurance beneficiaries to ensure that no changes are necessary.
W-4 Complete a new Form W-4 for your employer to adjust tax withholding.
FINANCIAL HOUSEKEEPING TIP – While thinking about your tax and financial planning, think about your loved ones and compile a list of all investment, bank accounts, credit cards, safe deposit boxes, etc., and make a record of where each account is held and who to contact when you are gone. Taking these few steps now could pay dividends for those that you leave behind and make things so much easier during a stressful time.
IMPORTANT FIGURES FOR 2019/2020
SOCIAL SECURITY LIMIT FOR WAGE EARNERS FOR 2020: $137,700
RETIREMENT PLAN CONTRIBUTION LIMITS*:
YEAR 2019YEAR 2020
IRA(REG/ROTH) $6,000 $6,500
SIMPLE IRA $13,000 $13,500
401K/403B/SEP $19,000 $19,500
*NOTE: IF YOU ARE OVER AGE 50, YOU ARE ELIGIBLE TO CONTRIBUTE ADDITIONAL CATCHUP AMOUNTS DEPENDENT ON THE TYPE OF PLAN– PLEASE CALL FOR DETAILS.
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Tax organizers will be mailed out after January 1. Our staff of Erin Dibacco, Mindy Gangler, Cinda Savage, Kasondra Margroff, Lori Frantz, Meghan Foley, along with Brian and Shane, are looking forward to seeing you again this year. If you have any questions, please contact our office.
Yours very truly,
All of us at Boal and Associates CPAs
WE INFORM YPURPOSE OF (I) AVOIDING PENALTIES UNDER THE INTERNAL REVENUE CODE OR (II) PROMOTING, MARKETINADVICE MAY NOU TOT BE FORWARDEHAT ANY U.S. FEDERAL TAX ADVICE CONTAINED IN THIS COMMUNICATION (INCLUDING ANY ATTACHMENTS) ID (OTHER THAN WITHIN THE TAXPAYER TO WHICH IT HAS BEEN SENT) WITHOUT OUR EXPRESS WRITTEN CONSENT.G OR RECOMMENDING TO ANOTHER PARTY ANY TRANSACTION OR MATTER ADDRESSED HEREIN.S NOT INTENDED OR WRITTEN TO BE USED, AND CANNOT BE USED, FOR THE THIS
