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How the Inflation Reduction Act might affect you

The Inflation Reduction Act could make a difference in your wallet.

INDIANAPOLIS — The newly signed Inflation Reduction Act will bring some money-saving changes down the road.

However, most people are not going to see a major difference in their wallets anytime soon.

Some of the people who will see an impact are those on Medicare.

Beginning next year, insulin costs for people on Medicare will be capped at $35 a month. Then in 2025, seniors will have a $2,000 annual out-of-pocket cap on prescription drugs.

MORE: BY THE NUMBERS: The Inflation Reduction Act - The White House

As for clean energy savings, people who buy new electric vehicles will be provided up to $7,500 in tax credits. For used electric cars, it's $4,000.

RELATED: Not all electric vehicles are eligible for $7,500 Inflation Reduction Act tax credit

There will also be $14,000 in direct consumer rebates for families to buy heat pumps or other energy-efficient home appliances.

To figure out what credits or rebates you may qualify for in the home improvement space try using this calculator.

As for Indiana small businesses, the White House said:

"Indiana is home to 529,456 small businesses, representing 99.4% of all businesses in the state, and the Inflation Reduction Act will help them save money. Commercial building owners can receive a tax credit up to $5 per square foot to support energy efficiency improvements that deliver lower utility bills. Other programs that will benefit small businesses include tax credits covering 30% of the costs of installing low-cost solar power and of purchasing clean trucks and vans for commercial fleets."

RELATED: Economist says Indiana will benefit from Inflation Reduction Act

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