Payroll tax
What FICA actually takes — and why
FICA — the Federal Insurance Contributions Act tax — funds Social Security and Medicare. As an employee you pay 7.65% of your wages: 6.2% for Social Security and 1.45% for Medicare. Your employer matches that exact amount, so the government actually collects 15.3% on your wages — you just only see half of it on your pay stub.
The two pieces, in 2026 numbers
Social Security tax stops once your wages hit the $184,500 wage base for 2026 (set by the SSA). Above that, no more 6.2% is withheld — which is why a high earner's take-home jumps slightly late in the year. Medicare has no wage cap: the 1.45% runs on every dollar. On top of that, an Additional Medicare Tax of 0.9% applies to wages above $200,000 (single / head of household) or $250,000 (married filing jointly). Your employer does not match that 0.9% surtax.
Worked example — a $220,000 single earner
Social Security caps at the wage base: 6.2% × $184,500 = $11,439 (not 6.2% of the full $220,000). Medicare is 1.45% × $220,000 = $3,190. The 0.9% surtax hits the $20,000 above the $200,000 threshold = $180. Total employee FICA = $14,809. Notice the surtax is yours alone — the employer match covers only the regular 6.2% and 1.45%.
Does a 401(k) lower FICA?
No. A traditional 401(k) reduces your income tax, but Social Security and Medicare are still calculated on your full gross wages. The only common payroll items that do reduce FICA are Section-125 "cafeteria plan" benefits — pre-tax health, dental and vision premiums, an FSA, or an HSA funded through payroll. To see how those interact with your full paycheck, use the paycheck calculator or the take-home after deductions calculator.
Questions
FICA Tax Calculator 2026 FAQ
How much is FICA tax in 2026?
FICA is 7.65% of wages for employees: 6.2% Social Security (on wages up to the $184,500 2026 cap) and 1.45% Medicare (no cap). Employers match the same 7.65%, so 15.3% total is collected. High earners also pay a 0.9% Additional Medicare Tax above $200,000 single or $250,000 married.
Is there a wage cap on FICA?
Only on the Social Security portion. For 2026 the SSA wage base is $184,500 — once your wages reach it, no more 6.2% Social Security tax is withheld for the year. The 1.45% Medicare tax has no cap and applies to every dollar of wages.
What is the Additional Medicare Tax?
It is an extra 0.9% Medicare tax on wages above $200,000 for single and head-of-household filers, or $250,000 for married filing jointly. Employers must withhold it once your wages pass $200,000, regardless of filing status, and your employer does not match this 0.9%.
Does my employer pay FICA too?
Yes. Your employer pays a matching 6.2% Social Security and 1.45% Medicare on your wages — an amount equal to your own FICA, except for the 0.9% Additional Medicare surtax, which only the employee pays. Self-employed people pay both halves as the 15.3% self-employment tax.
- Sources: SSA 2026 OASDI contribution & benefit base ($184,500) · IRS Topic No. 751 (Social Security & Medicare withholding rates) · IRS Questions and Answers for the Additional Medicare Tax.
- 🔄 Last updated June 27, 2026 · Tax year 2026
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