global Tax Important Tax Figures for 2015 January 06, 2015 Every year, the dollar amounts allowed for various federal tax benefits are subject to change based on inflation adjustments and legislation. Due to both inflation and legislation, the dollar amounts allowed for various federal tax benefits have changed for 2015. Using the Consumer Price Index (CPI) the IRS has calculated 2014’s inflation and has modified amounts accordingly. Included in these changes are amounts that have changed on a typical yearly basis, like the social security tax wage base, and amounts that have drastically changed from 2014, like the section 179 deduction, which is scheduled to be $25,000 for 2015, a stark contrast from 2014’s $500,000 amount in that category. This chart details the other various deductions, exemptions, exclusions, and benefits that have changed for 2015.Important Tax Figures for 2015 Social Security/Medicare 2015 2014 Social Security Tax Wage Base $118,500 $117,000 Medicare Tax Wage Base No limit No limit Employee portion of Social Security 6.2% 6.2% Individual Retirement Accounts 2015 2014 Roth IRA Individual, up to 100% of earned income $5,500 $5,500 Traditional IRA Individual, up to 100% of earned Income $5,500 $5,500 Roth and traditional IRA additional annual "catch-up" contributions for account owners age 50 and older $1,000 $1,000 Qualified Plan Limits 2015 2014 Defined Contribution Plan limit on additions on Sections 415(c)(1)(A) $53,000 $52,000 Defined Benefit Plan limit on benefits (Section 415(b)(1)(A)) $210,000 $210,000 Maximum compensation used to determine contributions $265,000 $260,000 401(k), SARSEP, 403(b) Deferrals (Section 402(g)), & 457 deferrals (Section 457(b)(2)) $18,000 $17,500 401(k), 403(b), 457 & SARSEP additional "catch-up" contributions for employees age 50 and older $6,000 $5,500 SIMPLE deferrals (Section 408(p)(2)(A)) $12,500 $12,000 SIMPLE additional "catch-up" contributions for employees age 50 and older $3,000 $2,500 Compensation defining highly compensated employee (Section 414(q)(1)(B)) $120,000 $115,000 Compensation defining key employee (officer) $170,000 $170,000 Compensation triggering Simplified Employee Pension contribution requirement (Section 408(k)(2)(c)) $600 $550 Driving Deductions 2015 2014 Business mileage, per mile 57.5 cents 56 cents Charitable mileage, per mile 14 cents 14 cents Medical and moving, per mile 23 cents 23.5 cents Business Equipment 2015 2014 Maximum Section 179 deduction $25,000* $500,000 Phaseout for Section 179 $200,000* $2 million Transportation Fringe Benefit Exclusion 2015 2014 Monthly commuter highway vehicle and transit pass $130 $250** Monthly qualified parking $250 $250 Standard Deduction 2015 2014 Married filing jointly $12,600 $12,400 Single (and married filing separately) $6,300 $6,200 Heads of Household $9,250 $9,100 Personal Exemption 2015 2014 Amount $4,000 $3,950 Personal Exemption Phaseout 2015 2014 Married filing jointly and surviving spouses Begins at $309,900 Begins at $305,050 Heads of Household Begins at $284,050 Begins at $279,650 Unmarried individuals Begins at $258,250 Begins at $254,200 Married filing separately Begins at $154,950 Begins at $152,525 Domestic Employees 2015 2014 Threshold when a domestic employer must withhold and pay FICA for babysitters, house cleaners, etc. $1,900 $1,900 Kiddie Tax 2015 2014 Net unearned income not subject to the "Kiddie Tax" $2,100 $2,000 Estate Tax 2015 2014 Federal estate tax exemption $5.43 million $5.34 million Maximum estate tax rate 40% 40% Annual Gift Exclusion 2015 2014 Amount you can give each recipient $14,000 $14,000 * The Section 179 amounts are scheduled to be much lower in 2015 than they were in 2014 unless Congress acts to extend them. The amounts have been increased in recent years by various tax laws, including the Tax Increase Prevention Act of 2014. ** The Tax Increase Prevention Act of 2014 provided a retroactive increase from the $130 limit that had been in place for 2014. If Congress does not act to extend it, the amount goes down to $130 for 2015. Find the 2016 Brackets here.
