Wednesday, October 22, 2014

THIS JUST IN - SOCIAL SECURITY COLA INCREASE FOR 2015


According to the Social Security Administration the monthly Social Security and Supplemental Security Income (SSI) benefits will increase by 1.7% effective January 2015.

The Social Security Act ties the annual COLA to the increase in the Consumer Price Index as determined by the Department of Labor’s Bureau of Labor Statistics.

The monthly Medicare Part B premium will remain $104.90 for 2015.  Higher income beneficiaries will pay a higher premium in 2015 based on 2013 AGI plus tax-exempt municipal bond income.    

If your yearly income in 2013 (for what you pay in 2015) was
You pay (in 2015)
File individual tax return
File joint tax return
File married & separate tax return
$85,000 or less
$170,000 or less
$85,000 or less
$104.90
above $85,000 up to $107,000
above $170,000 up to $214,000
Not applicable
$146.90
above $107,000 up to $160,000
above $214,000 up to $320,000
Not applicable
$209.80
above $160,000 up to $214,000
above $320,000 up to $428,000
above $85,000 and up to $129,000
$272.70
above $214,000
above $428,000
above $129,000
$335.70

The maximum amount of earnings subject to the Social Security tax (and the Social Security component of the self-employment tax) will increase from $117,000 to $118,500 for 2015.  The maximum Social Security tax to be withheld from wages in 2015 will be $7,357.  And the maximum amount of the Social Security component of self-employment tax will rise to $14,694 for 2015.

TTFN 

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