What is the self-employed person's FICA tax rate for 2023 and 2024?

2023 FICA Tax Rate for Self-Employed

The self-employed person's FICA tax rate for 2023 (January 1 through December 31, 2023) is 15.3% on the first $160,200 of net income plus 2.9% on the net income in excess of $160,200. In other words, the self-employed person's FICA tax rate for 2023 includes all of the following:

  • the employee's portion of the Social Security tax, which is 6.2% of the first $160,200 of net income
  • the employer's portion of the Social Security tax, which is 6.2% of the first $160,200 of net income
  • the employee's portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)
  • the employer's portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)

A self-employed person having net income of exactly $160,200 in 2023 must remit FICA taxes of $24,510.60 ($160,200 X 15.3%).

2024 FICA Tax Rate for Self-Employed

The self-employed person's FICA tax rate for 2024 (January 1 through December 31, 2024) is 15.3% on the first $168,600 of net income plus 2.9% on the net income in excess of $168,600. In other words, the self-employed person's FICA tax rate for 2024 includes all of the following:

  • the employee's portion of the Social Security tax, which is 6.2% of the first $168,600 of net income
  • the employer's portion of the Social Security tax, which is 6.2% of the first $168,600 of net income
  • the employee's portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)
  • the employer's portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)

A self-employed person having net income of exactly $168,600 in 2024 must remit FICA taxes of $25,795.80 ($168,600 X 15.3%).

There is also an Additional Medicare Tax that applies to higher income taxpayers. Information on the Medicare surtax and other income tax information can be found at www.irs.gov.