Social Security and Medicare Taxes
Federal social insurance taxes are imposed equally on employers and employees, consisting of a tax of 6.2% of wages up to an annual wage maximum ($106,800 in 2010) for Social Security plus a tax of 1.45% of total wages for Medicare. For 2011, the employee's contribution was reduced to 4.2%, while the employer's portion remained at 6.2%. To the extent an employee's portion of the 6.2% tax exceeds the maximum by reason of multiple employers, the employee is entitled to a refundable tax credit upon filing an income tax return for the year.
Read more about this topic: Taxation In The United States, Payroll Taxes
Famous quotes containing the words social security, social, security and/or taxes:
“Social Security is a government program with a constituency made up of the old, the near old and those who hope or fear to grow old. After 215 years of trying, we have finally discovered a special interest that includes 100 percent of the population. Now we can vote ourselves rich.”
—P.J. (Patrick Jake)
“In bourgeois society, the French and the industrial revolution transformed the authorization of political space. The political revolution put an end to the formalized hierarchy of the ancien regimé.... Concurrently, the industrial revolution subverted the social hierarchy upon which the old political space was based. It transformed the experience of society from one of vertical hierarchy to one of horizontal class stratification.”
—Donald M. Lowe, U.S. historian, educator. History of Bourgeois Perception, ch. 4, University of Chicago Press (1982)
“Our security depends on the Allied Powers winning against aggressors. The Axis Powers intend to destroy democracy, it is anathema to them. We cannot provide that aid if the public are against it; therefore, it is our responsibility to persuade the public that aid to the victims of aggression is aid to American security. I expect the members of my administration to take every opportunity to speak to this issue wherever they are invited to address public forums in the weeks ahead.”
—Franklin D. Roosevelt (1882–1945)
“As I went about with my father when he collected taxes, I knew that when taxes were laid some one had to work to earn the money to pay them.”
—Calvin Coolidge (1872–1933)