What is the employer's Social Security tax rate for 2018 and 2019?

Employer's Social Security Payroll Tax for 2018
The employer's Social Security payroll tax rate for 2018 (January 1 through December 31, 2018) is 6.2% of each employee's first $128,400 of wages, salaries, etc. If an employee's 2018 wages, salaries, etc. are greater than $128,400, the amount in excess of $128,400 is not subject to the Social Security tax. Hence, the maximum amount of the employer's Social Security tax for each employee in 2018 is $7,960.80 (6.2% X $128,400).

Employer's Social Security Payroll Tax for 2019
The employer's Social Security payroll tax rate for 2019 (January 1 through December 31, 2019) is 6.2% of each employee's first $132,900 of wages, salaries, etc. If an employee's wages, salaries, etc. are greater than $132,900, the amount in excess of $132,900 is not subject to the Social Security tax. Hence, the maximum amount of the employer's Social Security tax for each employee in 2019 is $8,239.80 (6.2% X $132,900).

Since employees also have the Social Security payroll tax withheld from their wages, salaries, etc., the employer is in effect matching each employee's Social Security payroll tax. The employer must remit both the amounts withheld from employees' pay and employer's matching to the U.S. government.

Social Security Payroll Tax is One Part of the FICA Payroll Tax
In addition to the Social Security payroll tax, there is also a Medicare payroll tax of 1.45% and a Medicare surtax for higher income taxpayers. (The combination of the Social Security tax and the Medicare tax is referred to as FICA.) The employer must match each employee's Medicare tax of 1.45% but does not match the Medicare surtax. Information on the Medicare surtax can be found at www.irs.gov.

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