Healthcare Provider Update: Healthcare Provider for Catalent Catalent, a prominent player in the biopharmaceutical industry, collaborates with various healthcare providers to optimize its services. One of the notable healthcare partners for Catalent is UnitedHealthcare, which often works with organizations like Catalent to ensure streamlined processes in drug delivery and related healthcare services. Potential Healthcare Cost Increases in 2026 In 2026, healthcare costs are expected to rise significantly, primarily driven by looming federal policies and medical inflation. Reports indicate that Affordable Care Act (ACA) premiums may surge due to the potential expiration of enhanced premium subsidies, causing many policyholders to face out-of-pocket increases of over 75%. Insurers are already proposing steep rate hikes, with some states expected to see increases as high as 66%. This combination of factors, including rising healthcare service costs and more aggressive premium strategies from insurers, is set to intensify financial pressures on consumers in the coming year. Click here to learn more
Here are some things for Catalent employees and retirees to consider as they weigh potential tax moves between now and the end of the year.
1. Defer income to next year
Catalent employees must consider opportunities to defer income to 2023, particularly if you think you may be in a lower tax bracket then. For example, you may be able to defer a year-end bonus or delay the collection of business debts, rent, and payments for services. As a Catalent employee, doing so may enable you to postpone payment of tax on the income until next year.
2. Accelerate deductions
Catalent employees and retirees should also look for opportunities to accelerate deductions into the current tax year. If you itemize deductions, making payments for deductible expenses such as medical expenses, qualifying interest, and state taxes before the end of the year (instead of paying them in early 2023) could make a difference on your 2022 return.
3. Make deductible charitable contributions
As a Catalent employee, if you itemize deductions on your federal income tax return, you can generally deduct charitable contributions, but the deduction is limited to 50% (currently increased to 60% for cash contributions to public charities), 30%, or 20% of your adjusted gross income (AGI), depending on the type of property you give and the type of organization to which you contribute. (Excess amounts can be carried over for up to five years.)
Featured Video
Articles you may find interesting:
- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
- 7 Things to Consider Before Leaving Your Company
- How Are Workers Impacted by Inflation & Rising Interest Rates?
- Lump-Sum vs Annuity and Rising Interest Rates
- Internal Revenue Code Section 409A (Governing Nonqualified Deferred Compensation Plans)
- Corporate Employees: Do NOT Believe These 6 Retirement Myths!
- 401K, Social Security, Pension – How to Maximize Your Options
- Have You Looked at Your 401(k) Plan Recently?
- 11 Questions You Should Ask Yourself When Planning for Retirement
- Worst Month of Layoffs In Over a Year!
- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
- 7 Things to Consider Before Leaving Your Company
- How Are Workers Impacted by Inflation & Rising Interest Rates?
- Lump-Sum vs Annuity and Rising Interest Rates
- Internal Revenue Code Section 409A (Governing Nonqualified Deferred Compensation Plans)
- Corporate Employees: Do NOT Believe These 6 Retirement Myths!
- 401K, Social Security, Pension – How to Maximize Your Options
- Have You Looked at Your 401(k) Plan Recently?
- 11 Questions You Should Ask Yourself When Planning for Retirement
- Worst Month of Layoffs In Over a Year!
4. Bump up withholding to cover a tax shortfall
As a Catalent employee, if it looks as though you will owe federal income tax for the year, consider increasing your withholding on Form W-4 for the remainder of the year to cover the shortfall. Time may be limited for Catalent employees to request a Form W-4 change and for their employers from Catalent to implement it in time for 2022. The biggest advantage in doing so is that withholding is considered as having been paid evenly throughout the year instead of when the dollars are actually taken from your paycheck. This strategy can be implemented by Catalent employees to make up for low or missing quarterly estimated tax payments.
5. Save more for retirement
Deductible contributions to a traditional IRA and pre-tax contributions to a Catalent-sponsored retirement plan such as a 401(k) can reduce your 2022 taxable income. As a fortune 500 employee, if you haven't already contributed up to the maximum amount allowed, consider doing so. For 2022, Catalent employees can contribute up to $20,500 to a 401(k) plan ($27,000 if you're age 50 or older) and up to $6,000 to traditional and Roth IRAs combined ($7,000 if you're age 50 or older).* The window to make 2022 contributions to a Catalent-sponsored plan generally closes at the end of the year, while you have until April 18, 2023, to make 2022 IRA contributions.
*Roth contributions are not deductible, but Roth-qualified distributions are not taxable.
6. Take the required minimum distributions
If you are a Catalent employee age 72 or older, you generally must take required minimum distributions (RMDs) from traditional IRAs and Catalent-sponsored retirement plans (special rules apply if you're still working and participating in Catalent's retirement plan). You have to make the withdrawals by the date required — the end of the year for most individuals. The penalty for failing to do so is substantial: 50% of the amount that wasn't distributed on time. As a fortune 500 employee, making these distributions in a timely manner is essential as to avoid the late penalty.
7. Weigh year-end investment moves
Catalent employees and retirees shouldn't let tax considerations drive investment decisions. However, it's worth considering the tax implications of any year-end investment moves that you make. For example, if you have realized net capital gains from selling securities at a profit, you might avoid being taxed on some or all of those gains by selling losing positions. As a Catalent employee, any losses over and above the number of your gains can be used to offset up to $3,000 of ordinary income ($1,500 if your filing status is married filing separately) or carried forward to reduce your taxes in future years.
Tags: Financial Planning , Tax , Retirement , 2022
What is the Catalent 401(k) Savings Plan?
The Catalent 401(k) Savings Plan is a retirement savings plan that allows employees to save for their future by contributing a portion of their salary on a pre-tax or Roth after-tax basis.
How can I enroll in the Catalent 401(k) Savings Plan?
Employees can enroll in the Catalent 401(k) Savings Plan by accessing the benefits portal or contacting Human Resources for guidance on the enrollment process.
What are the eligibility requirements for the Catalent 401(k) Savings Plan?
To be eligible for the Catalent 401(k) Savings Plan, employees typically need to be at least 21 years old and have completed a specified period of service with the company.
Does Catalent offer a company match for the 401(k) Savings Plan?
Yes, Catalent offers a company match for contributions made to the 401(k) Savings Plan, which helps employees maximize their retirement savings.
How much can I contribute to the Catalent 401(k) Savings Plan?
Employees can contribute up to the IRS annual limit to the Catalent 401(k) Savings Plan, which may vary each year. It’s important to check the current limits.
When can I start making contributions to the Catalent 401(k) Savings Plan?
Employees can start making contributions to the Catalent 401(k) Savings Plan after they complete the eligibility requirements and enroll in the plan.
Can I change my contribution amount in the Catalent 401(k) Savings Plan?
Yes, employees can change their contribution amount at any time during the year by accessing the benefits portal or contacting Human Resources.
What investment options are available in the Catalent 401(k) Savings Plan?
The Catalent 401(k) Savings Plan offers a variety of investment options, including mutual funds and target-date funds, allowing employees to choose based on their risk tolerance and retirement goals.
How often can I change my investment allocations in the Catalent 401(k) Savings Plan?
Employees can change their investment allocations in the Catalent 401(k) Savings Plan at any time, subject to the plan's trading restrictions.
What happens to my Catalent 401(k) Savings Plan if I leave the company?
If you leave Catalent, you have several options for your 401(k) Savings Plan, including rolling it over to another qualified plan, cashing it out, or leaving it in the Catalent plan if permitted.
-2.png?width=300&height=200&name=office-builing-main-lobby%20(52)-2.png)
.webp?width=300&height=200&name=office-builing-main-lobby%20(27).webp)
-2.png)
.webp)