2018 Social Security and Medicare Taxable Earnings and Rates

 

 

2018 Social Security Taxable Earnings and Rates
If you are: The Maximum Taxable Earnings is: Tax Rate
Employee First $128,400 of Wages 6.2%
Self-Employed First $128,400 of Net Profit from Trade or Business 12.4%
2018 Medicare Taxable Earnings and Rates
If you are: The Maximum Taxable Earnings is: Tax Rate
Employee UNLIMITED 1.45%*
Self-Employed UNLIMITED 2.9%*

*You are liable for Additional Medicare Tax of 0.9% if your wages, compensation, or self-employment income (together with that of your spouse if filing a joint return) exceed the threshold amount for your filing status shown in the table below:

Filing Status Threshold Amount
Married Filing Jointly $250,000
Married Filing Separately $125,000
Single $200,000
Head of Household $200,000
Qualifying Widow(er) with Dependent Child $200,000

For other 2018 Social Security and Medicare changes such as quarter of coverage, retirement earnings test exempt amounts, SSI payments, and COLA amounts, click here.