What is the Social Security tax rate for 2009?
The Social Security tax rate (excluding the Medicare tax) for the year 2009 is 6.20% on the first $106,800 of an employee’s taxable earnings. Taxable earnings includes items such as salaries, wages, and cash bonuses. Since the Social Security tax is withheld from employees and then matched by the employer, the total Social Security tax (excluding the Medicare tax) is 12.40% on the first $106,800 of each employee’s earnings paid by the employer in the year 2009.
The Medicare tax remains at 1.45% of every dollar of every employee’s salaries, wages, etc. The Medicare tax is also matched by the employer resulting in the employer remitting 2.90% of every dollar of wages, salaries, etc. paid to employees in the year 2009.
The combination of the Social Security tax and the Medicare tax is often referred to as FICA. Combining the information above, the FICA rate for 2009 is 7.65% withheld from the first $106,800 of each employee’s earnings and 1.45% on any employee’s earnings above $106,800. Since the employer matches these amounts, the employer must remit 15.3% of each employee’s first $106,800 of earnings plus 2.90% of any employee’s 2009 earnings that are greater than $106,800.
Self-employed individuals are responsible for both the employee and employer portions of Social Security and Medicare taxes.
Learn more about Payroll Accounting.
About the Author: Harold Averkamp (CPA) has worked as an accountant, consultant, and university accounting instructor for more than 25 years.He is the author of the 2010 Master Accounting Download Package which has been praised for it's ability to simplify accounting in a way that anybody can understand.
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Do i have pay social security and medicare tax for my 401k?
If my wages is 100k. I put 10k for 401k.
Should My SS tax be 100k X 0.0765 or
90k X 0.0765?
please advise.
thanks
The $15.00 payday stimulus: do you have to work a certain number of hours? Do part-time workers qualify??
I am retired with social security
income. Is it fully taxable
at 15%?? thx.
I am retired with social security income and a teamster pension.
What is my tax rate for 2009?
omg, my financial math teacher is really getting on my nerves about social security and medicare, what is the tax rate for the year of 2010?
The 2010 Social Security and Medicate tax rates and amounts subject to the taxes are the same as 2009. No changes.
our combined s.s. income is $28,000.00.
what is taxable and at what %?
If I receive $596. every two weeks from my worker’s comp. and $800 from SSD after Medicare automatically deducts their monthly share, how much of this amount is tax deductable? Some friends have told me that the government together with state and local do NOTdeduct taxes from worker’s comp or SSD. I’m confused.
I am single and just turned 62 years old. I will be receiving my 1st social security check in April of 2010. How much % can I anticipate being taken out of my social security checks for my taxes if my pension from GM will be $28,000 and my social security benifit checks will total $13,383 for a combined total of $41,000?
IRS tax your social security based on “taxable income” which means if you make 100K a year, it will be $6,200. I am not a tax consultant but I learnt these from reading my husband’s pay stub.