By Christina T. Vidoli
Below are some important cost-of-living-adjusted figures for 2015, as issued by the Social Security Administration and the Internal Revenue Service:
Social Security
- Social Security and Supplemental Security Income (SSI) beneficiaries will receive a 1.7% COLA for 2015
- The maximum Social Security wage base is $118,500
- Amount of earnings required for a Quarter of Coverage is $1,22
- The maximum Social Security benefit for a single individual retiring at full retirement age is $2,663 per month
- The maximum annual SSI benefit for an Individual is $8,804, or $733/month
- The maximum annual SSI benefit for a Couple is $13,205, or $1,100/month
- The maximum annual SSI benefit for an Essential Person is $4,412, or $367/month
- The Social Security Disability Thresholds are adjusted as follows:
-Substantial Gainful Activity (“SGA”) for the Non-Blind is set at $1,090/month
-SGA for the Blind is set at $1,820/month
-The Trial Work Period is set $780/month
- The tax rate for the self-employed is 15.30%
For more information, see SSA 2015 COLA Fact Sheet.
IRS
- The top marginal tax rate of 39.6 % affects singles whose income exceeds $413,200 ($464,850 for married taxpayers filing a joint return)1
- The 20% maximum rate for trusts and estates on long-term capital gains and qualified dividends applies to amounts above $12,3002
- The personal exemption rises to $4,000, but is subject to a phase-out that begins with adjusted gross incomes of $258,250 ($309,900 for married couples filing jointly)1
- Estates of decedents who die during 2015 have a basic exclusion amount of $5,430,0001
- The exclusion from tax on a gift to a spouse who is not a U.S. citizen is $147,0001
- The annual gift tax exclusion remains at $14,0001
- The limit on annual IRA contributions remains at $5,500 and the additional “catchup” IRA contribution limit for individuals age 50 and over remains at $1,0001
- The AGI phase-out range for taxpayers making contributions to a Roth IRA is $116,000 to $131,000 for singles and heads of households3
- For married couples filing jointly, the AGI phase-out range is $183,000 to 193,0003
- Earned income over $200,000 (individuals) or $250,000 (married couples filing jointly) is subject to an Additional Medicare Tax of 0.9%2
- Unearned income over $200,000 (individuals) or $250,000 (married couples filing jointly) is subject to a 3.8% Medicare Net Investment Income Tax3
- Social security and Medicare taxes apply to the wages of household employees paid $1,900 or more4
- The Federal Unemployment Tax Rate (FUTA) is 6% and applies to the first $7,000 an employer pays to each employee as wages during the year
[1] In 2015, Various Tax Benefits Increase Due to Inflation Adjustments
[3] IRS Announces 2015 Pension Plan Limitations
[4] Questions and Answers for the Additional Medicare Tax
