2022 COLA INCREASES FOR MEDICAID, SOCIAL SECURITY, MEDICARE, TAX AND VETERANS BENEFITS
by: Begley Law Group
by Thomas D. Begley, Jr., Esquire, CELA
Many public benefit and tax numbers are indexed to inflation. Different agencies use different inflation factors, but Social Security used 5.9 for increasing the numbers for 2022. Below is a chart that states numbers for the following: Medicaid, Social Security, Medicare, Tax, Veterans Aid and Attendance and Veterans Housebound Benefits.
Medicaid
- Income Cap[1] $2,523
- Maximum Community Spouse Resource Allowance (CSRA)[2] $137,400
- Minimum CSRA[3] $27,480
- Maximum Minimum Monthly Maintenance Needs Allowance (MMMNA)[4] $3,435
- MMMNA (July 1, 2022 until June 30, 2023)[5] $2,288.75
- Excess Shelter Allowance (July 1, 2022 until June 30, 2023)[6] $686.63
- Maximum Resource Limit (Individual)[7] $2,000
- Minimum and Maximum Cap on Equity in the Home[8] $636,000 – $955,000
Social Security
- For 2022, there will be a 5.9% COLA increase for Social Security benefits.[9]
- Maximum Social Security benefit for a single individual retiring at full retirement age[10] $3,345
- Supplemental Security Income (SSI) – Single[11] $841
- Supplemental Security Income (SSI) – Couple[12] $1,261
- Supplemental Security Income (SSI) – Essential Person[13] $421
- Maximum Annual SSI benefit – Single[14] $10,092
- Maximum Annual SSI benefit – Couple[15] $15,132
- Substantial Gainful Activity (SGA) – Disabled[16] $1,350
- SGA – Blind[17] $2,260
- Tax Rate Employer and Employee calculated separately[18] (includes OASDI and Medicare)
Add an additional .09% for individuals earning more than $200,000 or married couples earning more than $250,000 7.65%
- Tax Rate Self Employed[19] 30%
- Trial Work Period[20] $970
- Maximum Social Security Contribution and Benefit Base[21] $147,000
- Quarter of Coverage[22] $1,510
Medicare
Part A
- Medicare Co-Payment – Skilled Nursing Facility (SNF)[23] $194.50
- Hospital Deductible[24] $1,556
- Per day Co-Insurance – Day 61 -90[25] $389
- Per day Co Insurance – Day 91-150[26] $778
Part A Premium
- With 30-39 quarters of Social Security coverage[27] $274
- With 29 or fewer quarters of Social Security coverage[28] $499
Part B
Medicare Part B – Single or Married and Filing Joint Return
Part B Income-Related Premium[31]
| Beneficiaries who file an individual
tax return with income:
|
Beneficiaries who file a joint tax return with
income: |
Income-related monthly adjustment amount | Total monthly premium amount
|
| Less than or equal to $91,000
|
Less than or equal
to $182,000 |
$0.00 | $170.10 |
| Greater than
$91,000 and less than or equal to $114,000
|
Greater than $182,000 and less than or equal to $228,000 | $68.00 | $238.10 |
| Greater than $114,000 and less than or equal to $142,000
|
Greater than $228,000 and less than or equal to $284,000 | $170.01 | $340.20 |
| Greater than $142,000 and less than or equal to $170,000
|
Greater than $284,000 and less than or equal to $340,000 | $272.20 | $442.30 |
| Greater than $170,000 and less than or equal to $500,000
|
Greater than $340,000 and less than or equal to $750,000 | $374.20 | $544.30 |
| Greater than or equal to $500,000 | Greater than or equal to $750,000 | $408.20 | $578.30 |
In addition, the monthly premium rates to be paid by beneficiaries who are married, but file a separate return from their spouse and lived with their spouse at some time during the taxable year are:
| Beneficiaries who are married and lived with their spouses at any time during the calendar year, but who file separate tax returns from their spouses:
|
Income-related monthly adjustment amount | Total monthly premium amount |
| Less than or equal to
$91,000
|
$0.00 | $170.10 |
| Greater than $91,000 and less than $409,000
|
$374.20 | $544.30 |
| Greater than or equal to $409,000 | $408.20 | $578.30 |
Standard Part D Cost-Sharing for 2022[32]
- Annual Deductible Maximum$480
(After the Deductible is met, Beneficiary pays 25% of Covered costs up to total prescription costs meeting the initial Coverage Limit)
- Member Pays 25% of the Next… $3,950
- Initial Coverage Limit $4,430
- Out-of-Pocket Threshold $7,050
(Brand name drugs: 70% Discount + 5% plan “subsidy,” Generic drugs: Plan pays 75%)
- Total Covered Part D Drug Out-of-Pocket$10,012.50
Spending including Coverage Gap
(Catastrophic Coverage starts after this point.)
- Catastrophic cost-sharing: Generic $3.95 or 5% (whichever is greater)
- Catastrophic cost-sharing:Brand $9.85 or 5% (whichever is greater)
Tax
- Annual Gift Tax Exclusion[33] $16,000
- Gifts to Non-Citizen Spouse[34] $164,000
- Income Level/Maximum Tax Estates and Trust[35] $13,450
- Income Level/Maximum Single Individual Income Tax[36] $539,900
- Federal Estate and Gift Tax Exemption[37] $12,060,000
- Personal Exemption[38] Eliminated
- FICA Wage Threshold[39] Domestic Workers $2,400
- FUTA Wage Base[40] $7,000
- Maximum IRA Contribution[41] $6,000
- “Catchup” IRA Contribution[42] $1,000
- Applicable Allowable AGI Limit Roth IRA Single Taxpayer[43] $144,000
- Applicable Allowable AGI Limit Roth IRA Married Taxpayer Filing Jointly[44] $214,000
- Medicare Tax on Earned Incomes over $200,000 – Single, over $250,000 – Married[45] 0.9%
- Medicare Tax on Unearned Incomes over $200,000 – Single, over $250,000 – Married[46] 3.8%
- Maximum Earned Income Contribution to ABLE Account by Disabled
Beneficiary[47] (compensation up to the federal poverty level (FPL)
for a one-person household, as defined the previous calendar year) $12,880
Veterans Aid & Attendance and Household Benefits[48]
Aid and Attendance
- Veteran with no dependents$2,050 per month
- Veteran with one dependent$2,431 per month
- Spouse of deceased Veteran with no dependent$1,317 per month
Housebound Benefits
- Housebound Veteran, no dependents$1,502 per month
- Housebound Veteran, one dependent$1,882 per month
- Housebound spouse of deceased Veteran, no dependent$1,007 per month
Net Worth
The net worth limit for a Veteran seeking Aid and Attendance is $138,489 for 2022.
[1] 42 U.S.C. §1396a(a)(10)(A)(v); 2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[2] 2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[3] 2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[4] 2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[5]2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[6]2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[7] 20 CFR § 416.1205(c).
[8] 42 U.S.C. §1396p(f); 2022 SSI and Spousal Impoverishment Standards, www.medicaid.gov.
[9] 86 F.R. 58715 (October 22, 2021).
[10] Fact Sheet, Social Security, 2022 Social Security Changes, ssa.gov.
[11] 86 F.R. 58715 (October 22, 2021).
[12] 86 F.R. 58715 (October 22, 2021).
[13] 86 F.R. 58715 (October 22, 2021).
[14] 86 F.R. 58717 (October 22, 2021).
[15] 86 F.R. 58717 (October 22, 2021).
[16] 86 F.R. 58716 (October 22, 2021).
[17] 86 F.R. 58716 (October 22, 2021).
[18] Fact Sheet, Social Security, 2022 Social Security Changes, ssa.gov.
[19] Fact Sheet, Social Security, 2022 Social Security Changes, ssa.gov.
[20] 86 F.R. 58716 (October 22, 2021).
[21] 86 F.R. 58716 (October 22, 2021).
[22] 86 F.R. 58716 (October 22, 2021).
[23] 86 F.R. 64217 (November 17, 2021).
[24] 86 F.R. 64217 (November 17, 2021).
[25] 86 F.R. 64217 (November 17, 2021).
[26] 86 F.R. 64217 (November 17, 2021).
[27] 86 F.R. 64215 (November 17, 2021).
[28] 86 F.R. 64215 (November 17, 2021).
[29] 86 F.R. 64205 (November 17, 2021).
[30] 86 F.R. 64205 (November 17, 2021).
[31] 86 F.R. 64208 (November 17, 2021).
[32] 2022 Medicare Part D. Outlook, https://q1medicare.com/PartD-The-2022-Medicare-Part-D-Outlook.php
[33] I.R.C. §2503; Rev. Proc. 2021-45(3)(.43)(1).
[34] I.R.C. §2523; Rev. Proc. 2021-45(3)(.43)(2).
[35] I.R.C. §1(e); Rev. Proc. 2021-45(3)(.01) Table 5.
[36] I.R.C. §1(c); Rev. Proc. 2021-45(3)(.01) Table 3.
[37] I.R.C. §2010; Rev. Proc. 2021-45 (3)(.41).
[38] I.R.C. §151; Rev. Proc. 2018-18 (3)(.24)(1).
[39] 86 F.R. 58720 (October 22, 2021).
[40] Topic 759 Form 940 IRS.
[41] IR-2021-216 (November 4, 2021).
[42] IR-2021-216 (November 4, 2021).
[43] IR-2021-216 (November 4, 2021).
[44] IR-2021-216 (November 4, 2021).
[45] IRC § 3101(b).
[46] IRC § 1411.
[47] 26 USC §529A; 86 F.R. 7733 (February 1, 2021).
[48] http://benefits.va.gov/pension/aid_attendance_housebound.asp.