2023 Social Security Tax Calculation
Social Security and Medicare taxes are mandated in the Federal Insurance Contributions Act (FICA). Calculating Social Security tax is free and easy. Use our Social Security and Medicare Tax calculator below to see how much you are paying.
Our calculator uses the latest and most accurate tax rates information from the federal government and takes into account the latest law changes including the new Additional Medicare Tax which is mandated by the Affordable Care Act, also known as Obamacare.
The Social Security and Medicare Taxes are paid in addition to state and local payroll tax as well as federal, state and local income tax.
Payroll taxes are made up of two parts: Social Security and Medicare. Social Security tax is 6.2% and Medicare tax is 1.45%.
Your employer pays an equal amount on your behalf which you never see in your paycheck. Because of this, if you are self-employed, you must pay the entire entire 12.4% Social Security tax and the entire 2.9% Medicare tax.
There are three income limits. Above these limits you do not have to pay Social Security tax. The limits are:
- $125,000 for married spouses filing separately
- $200,000 single and head of household
- $250,000 for married couples filing jointly
Above these limits you do not owe Social Security tax, but you do owe an additional high wage earner Medicare tax. The additional Medicare tax is 0.9%. So above your filing limit, you would own 2.35% (1.45% plus 0.9%) for Medicare. Only employees pay the 0.9% additional tax—not employers. There is no limit for Medicare above which you do not pay taxes.
Note: Your employer will withhold this additional Medicare tax for you if you make more than $200,000. However, if you make less than $200,000 but own additional Medicare tax due to the limits applied to married couples you will have to pay Medicare tax on your own.