This is why it’s so important to stay compliant with payroll taxes. This article has been updated with the latest payroll tax figures for 2025. We’ve also included a table to show how the Social Security taxable wage base limit has increased over time. Social Security Taxable Wage Base ...
In October, the Social Security Administration set its 2025cost-of-living adjustmentat 2.5%, the smallest annual COLA hike since 2021. The COLA is based on recent inflation rates, and because price hikes have cooled from their pandemic high, seniors are getting a smaller benefit increase for t...
To qualify for Social Security Disability Insurance, you must meet certain conditions. We’ll help you navigate your eligibility and tax responsibility for Social Security disability income.
Maximizing your Social Security retirement benefit takes know-how. Read about the claiming strategies that will get you the biggest payout.
Social Security is in a big financial mess as it is. Current benefit taxes bring in about $87 billion in revenue each year, in addition to the payroll tax revenue. Even still, Social Security is insolvent. Currently, it is projected that the main Social Security trust fund will dry out ...
Partially, as FICA taxes include Social Security taxes and Medicare taxes. Do you pay FICA taxes if you’re self-employed? Yes, but it's called the Self-Employed Tax and is governed by SECA instead of FICA. The rates and calculations underSECAopens in a new tabare the same as FICA, bu...
Lawmakers have several options to address the funding gaps. These include raising the Social Security payroll tax, increasing the retirement age, reducing benefits, or applying means-testing to wealthier recipients. However, as the report emphasizes, delaying these decisions will make implementing solutio...
If you earn more than $176,100 in 2025 ($168,600 in 2024), you don’t have to pay Social Security taxes on any additional earnings above that amount.45 If you’re self-employed, you pay the whole 12.4%, though that amount is reduced slightly when you take a tax deduction for the...
The Social Security fund is replenished each month withpayroll taxesfrom workers but the fund’s resources aren't infinite. It could run out of money. Retirement benefits will be fully paid on schedule until 2034, according to a 2024 report by the SSA. The trust fund’s reserves are e...
32 SSA, FY2025 Congressional Justification,“Office of the Inspector General.” The OIG account is funded by appropriations from both the general fund and the Social Security trust funds. The amount transferred from the Social Security trust funds is also authorized under Social Security Act, §201...