2015 will bring a number of changes to taxes, paycheck deferrals, and other areas that have an impact on employee paychecks. These changes are largely mandated by the Internal Revenue Service (IRS) and will become effective January 1, 2015.
To aid in preparing budgets for 2015, below is a breakdown of upcoming changes.
- Social Security wage base $118,500
- FICA Social Security (OASDI) 6.2%, up to the wage base
- FICA Medicare 1.45% up to $200,000, then 2.35%
- 401(k) maximum deferral $18,000
- 401(k) additional deferral for ages 50+ $6,000
- HSA contribution limit $3,350 individual, $6,650 family
- HSA additional contribution for ages 55+ $1,000
- FSA contribution limit $2550 for FSA and LPFSA, $5,000 for DCA
- Federal minimum wage
- (state min wage takes precedence if higher) $7.25; no change from 2014
- SUTA wage base – Oklahoma $17,000
- SUTA wage base – Texas $9,000
- SUTA wage base – Colorado $11,800
- SUTA wage base all other states See americanpayroll.org/members/stateui
- FUTA rate 0.60% net (6% rate, minus credit of up to 5.4%)
- Mileage rate – business use $0.575 per mile
For more information, please contact Nextep’s Human Resources or Payroll Departments.