FICA Tax Rate 2022

The FICA tax rate for 2022 is 7.65% which is the combined Social Security rate of 6.2% and the Medicare rate of 1.45%.

The Social Security Administration has announced that in 2022 they will increase the wage base for Social Security tax from $137,700 to $147,000. They have also announced that SSI and Social Security beneficiaries will receive a 1.3% cost of living adjustment in 2022. For more information on FICA tax for your business, please contact our business attorneys in California.

FICA Tax Explained

FICA tax comprises of two payments: Social Security tax and Medicare tax. The social security has a cap on the maximum earnings that can be taxed as explained above. There is no cap on Medicare tax, that is paid on all taxable earnings.

In 2022, employees will pay 7.65% FICA tax, which is matched by their employer; 6.2% of this tax is Social Security, and 1.45% of this tax is Medicare.

2022 FICA Tax Updates

Employee

In 2022, the employee will pay the following FICA tax, which the employer will match.

6.2% tax for Social Security on their first $147,000 of taxable earnings
1.45% tax for Medicare on taxable earnings up to 200,000
2.35% tax for Medicare on all taxable earnings over $200,000.

Self Employed

In 2022, the self-employed will pay the following FICA taxes:

12.4% tax for Social Security on their first $147,000 of taxable earnings
2.9% tax for Medicare on taxable earnings up to 200,000
3.8% tax for Medicare on all taxable earnings over $200,000

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FICA Tax Rate 2022

FICA Tax Explained

2022 FICA Tax Updates

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