9 Financial Changes For 2015

The New Year is quickly approaching and provided below are a few changes that will affect your money in 2015 so that you may factor them into your financial plans:

1. You can stash more money into some retirement plans.  Maximum contributions for 401(k)s and 403(b)s will rise by $500.
2. You can save for retirement through the Obama Administration’s new myRA option.  “My Retirement Account” should be available to some people in 2015.  This will be a no-fee Roth IRA for people whose employers do not currently offer retirement plans.  The federal government will guarantee myRA income and employee after tax contributions will be made through payroll deductions. 
3. You will be limited on the number of nontaxable IRA rollovers you can make.  The IRS will cap these rollovers to one every twelve months. 
4. The income limit to claim the Saver’s Credit will rise.  In 2015, it will rise by $1,000 for married couples filing jointly and by $500 for singles. 
5. The standard deduction will also increase.  For singles it will go up by $100 and for married couples filing jointly $200.
6. There will be a small increase in the personal exemption and the amount you can save in a Flexible Spending Account (FSA).  Both will increase by $50.  The personal exemption will be $4,000 and the FSA limit rises to $2,500 next year. 
7. The Alternative Minimum Tax exemption will increase 1.5%.  The exemption amount will be $53,000 for individuals and $83,400 for married couples filing jointly. 
8. Social Security payments will go up, as well as the amount of income subject to Social Security taxes.  Benefits checks for Social Security recipients will rise by 1.7% because of the annual Cost of Living Adjustment. 
9. The Obamacare penalty for failing to obtain health insurance in 2015 will more than triple.  In 2014, the penalty was $95 per adult or 1% of income.  In 2015 it will be $325 per person or 2% of income.

See Richard Eisenberg, 9 Changes That Will Affect Your Money In 2015, Forbes, Dec. 26, 2014.