2015 Updates on Long-Term Care Insurance Tax Deductions, Medicare, Medicaid & Health Savings Account Deductibles

 

2015 Updates
Provided by: LTC Consultants

HIPAA:

Attained age before the close of the taxable year: Amount that counts as a medical expense:
40 or less $380
41 – 50 $710
51 – 60 $1,430
61 – 70 $3,800
71 and older $4,750

Indemnity policies: Benefit payments above $330 per day that exceed the actual cost of care will be taxed as income. [IRS §213(d)(10)]

Self-Employed Long-Term Care Insurance Deductions: 100% of age-based limits for owner and spouse.

Medicare: 

Part A Deductible
$1,260
Skilled Nursing Facility Coinsurance $158
Part B Deductible $147
Part B Premium $104.90 (incomes below $85,000 individual/ $170,000 joint)
Qualified Medicare Beneficiary*(Annual amounts are issued in approximately February each year) Individual: $993 month income/$7,160 assets
Couple: $1,331 month income/$10,750 assets

Medicaid: Click here to see state-specific Medicaid information

Spouse’s minimum asset allowance $23,844
Spouse’s maximum asset allowance $119,220
Spouse’s minimum income allowance* $1,967 (effective 7/1/14-6/30/15)
Excess shelter allowance $591 (effective 7/1/14 – 6/30/15)
Spouse’s maximum income allowance $2,981
Income cap states (3 x SSI) $2,199
Home equity limits $552,000 / $828,000

Health Savings Accounts: (Minimum Deductible: $1,300 Individual / $2,600 Family)

Individual = Maximum contribution of $3,350. Additional 2015 contribution of $1,000 for 55+; Out-of-Pocket maximum: $6,450. Family = Maximum contribution of $6,650. Additional 2015 contribution of $1,000 for 55+; Out-of-Pocket maximum: $12,900.

*Limits vary for AK and HI

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