What payroll taxes have a limit?

What payroll taxes have a limit?

Each year, the federal government sets a limit on the amount of earnings subject to Social Security tax. In 2021, the Social Security tax limit is $142,800, and in 2022, this amount is $147,000.

What was the earnings limit for Medicare in 2014?

In addition, employees and employers each pay a 1.45 percent tax for Medicare. But there’s no cap — if an employee earns more than $117,000 in 2014, the Medicare tax will continue on the rest of the yearly salary.

What is the federal withholding tax rate for 2021?

The federal withholding tax has seven rates for 2021: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. The federal withholding tax rate an employee owes depends on their income level and filing status.

What was the Social Security tax rate in 2015?

6.2 percent
The Social Security Tax Rate remains at 6.2 percent. The resulting maximum Social Security Tax for 2015 is $7,347.00. There is no limit on the amount of earnings subject to Medicare (Hospital Insurance) Tax.

What was the 2015 standard deduction?

Standard Deduction and Personal Exemption The standard deduction will increase by $100 from $6,200 to $6,300 for singles (Table 2). For married couples filing jointly, it will increase by $200 from $12,400 to $12,600. The personal exemption for 2015 be $4,000.

What is the maximum Social Security tax withholding for 2014?

In 2014, with the higher income ceiling, the maximum yearly Social Security tax withholding amount rises to $7,254 (6.2 percent withholding on earnings of up to $117,000), up from $7,049.40 (6.2 percent withholding on earnings of up to $113,700). Medicare’s Bite.

What is the maximum amount subject to the Social Security payroll tax?

On Oct. 30, 2013, the Social Security Administration (SSA) announced that the maximum amount of earnings subject to the Social Security payroll tax will increase to $117,000 from $113,700, beginning Jan. 1, 2014.

What are the 401(k) and 403(b) contribution limits for 2014?

The announcement highlighted the following: 401(k), 403(b) and profit-sharing plan elective deferrals in 2014 will remain at $17,500; the catch-up contribution limit will stay at $5,500. The annual defined contribution limit from all sources will rise to $52,000 from $51,000.

What is the Social Security FICA tax withholding rate?

The portion of the Social Security FICA tax that employees pay remains unchanged at the 6.2 percent withholding rate. Correspondingly, the portion of the tax that employers cover also remains at 6.2 percent of employee wages.