The basic Medicare Part B premium remains $104.90 per month in 2014. But upper-income seniors still have to pay higher part B and D premiums if their modified adjusted gross income for 2012 exceeded $170,000 for couples, $85,000 for single people. Modified AGI is AGI plus any tax-exempt interest, EE bond interest that’s used for education and excluded foreign earned income. The Part B surcharges for 2014 won’t change, and Part D add-on will rise slightly. The total surcharge on upper-incomers can be as large as $300.10 a month.
The annual caps on deductible contributions to HSAs inch up this year. The ceilings rise slightly to $6,550 for account owners with family coverage and to $3,300 for self coverage Folks born before 1960 can put in $1,000 more. The limits on out-of-pocket costs, such as deductibles and co payments, will increase to $12,700 for people with family coverage and to $6,350 for individual coverage. Minimum policy deductibles will stay at $2,500 for families and $1,250 for singles.
The limits on deducting long-term-care premiums are a tad higher. Taxpayers who are age 71 or older can write off as much as $4,660 per person. Filers age 61 to 70…$3,720. Those who are 51 to 60 can deduct up to $1,400. Individuals age 41 to 50can take $700. And people age 40 and younger…$370. Also, the limit for tax free payouts under such policies increases to $330 a day.