2019 FICA Tax Rate for Self-Employed
The self-employed person's FICA tax rate for 2019 (January 1 through December 31, 2019) is 15.3% on the first $132,900 of net income plus 2.9% on the net income in excess of $132,900. In other words, the self-employed person's FICA tax rate for 2019 includes all of the following:
- the employee's portion of the Social Security tax, which is 6.2% of the first $132,900 of net income
- the employer's portion of the Social Security tax, which is 6.2% of the first $132,900 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 $132,900 in 2019 must remit FICA taxes of $20,333.70 ($132,900 X 15.3%).
2020 FICA Tax Rate for Self-Employed
The self-employed person's FICA tax rate for 2020 (January 1 through December 31, 2020) is 15.3% on the first $137,700 of net income plus 2.9% on the net income in excess of $137,700. In other words, the self-employed person's FICA tax rate for 2020 includes all of the following:
- the employee's portion of the Social Security tax, which is 6.2% of the first $137,700 of net income
- the employer's portion of the Social Security tax, which is 6.2% of the first $137,700 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 $137,700 in 2020 must remit FICA taxes of $21,068.10 ($137,700 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.
