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What is the 2011 maximum social security withholding amount?

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2011-11-30 21:25:57
2011-11-30 21:25:57

Maximum taxable earnings amount in 2011.

Updated 11/12/2010 07:59 PM | Answer ID 1905

Will the maximum taxable earnings amount change in 2011?

No. Because there is no cost-of-living adjustment, the Social Security Act prohibits an increase in the contribution and benefit base (Social Security's maximum taxable earnings), which normally increases with changes in the national average wage index. The maximum amount of earnings subject to the Social Security tax (taxable maximum) will remain $106,800.

As of the law passed on 12/17/2010 for 2011

The above is basically correct but can be confusing. The tax is payable on the first $106,800 of earnings. Earning are defined slightly differently for this than what is used for withholding, (or other things). Additionally, a portion of what was a total of 15.3% tax (half employer paid, half employee), is dedicated to Medicaid and has no maximum earnings.

However:

Under current law, employees pay a 6.2% Social Security tax on all wages earned up to $106,800 (in 2011) and self-employed individuals pay 12.4% Social Security self-employment taxes on all their self-employment income up to the same threshold.

For 2011, the Senate passed 2010 Tax Reform Act gives a two-percentage-point payroll/self-employment tax holiday for employees and self-employeds. As a result, employees will pay only 4.2% Social Security tax on wages and self-employment individuals will pay only 10.4% Social Security self-employment taxes on self-employment income up to the threshold.

The maximum savings for 2011 will be $2,136 (2% of $106,800).

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Related Questions


For the year 2004 the maximum earnings subject to the 6.2% social security tax was 87,900. For the year 2004 the amount was 5449.80 maximum contribution amount to the OASDI program social security benefit program.


For the year 2004 the maximum earnings subject to the 6.2% social security tax was 87,900. For the year 2004 the amount was 5449.80 maximum contribution amount to the OASDI program social security benefit program.


No. The last increase was in 2008; there will be no change for 2010 or 2011.


The wage cap was in 2006 was $94,200. The maximum Social Security withholding was 6.2% of that (plus the employer and self-employed people paid another 6.2% match). There was also a Medicare tax of 1.45% (both employer and employee) with no maximum.


In 1990, the Social Security contribution base was $51,300. One Social Security work credit cost $520 in earned wages, for a maximum of four credits per year at $2080.


For 2009, the Social Security Withholding tax (OASDI) is 6.20% on wages up to $106,800. Doing the math the maximum social security withholding is $6,621.60. If you have more than one employer in 2009 and your combined earnings exceed $106,800 the combined withholding can exceed $6,621.60 as EACH employer is required to deduct 6.20% of earnings up to $106,800. You will get back any amount over $6,621.60 when you file your taxes as excess social security taxes, or your employer will stop withholding any amounts above $6,621.60 from your paycheck. There is an additional 1.45% for Medicare which has no cap on the amount of withholding. The combined OASDI and Medicare tax of 7.65% is commonly referred to as the Social Security Withholding tax.


For 2008, the maximum social security tax withholding for an individual is $6,324, the tax on $102,000. For 2009, the maximum social security tax withholding for an individual is $6,622, the tax on $106,800.


It's not really a withholding..but more an insurance premium of 12.4% of applicable wages...if your an employee half of that is paid by the employer, if your self employed you pay the whole thing. There is a maximum amount of wages that it applies to, so the 12.4% of that establishes the maximum contribution - except for the small part of that which is the medical portion, which has no limit. The employee tax rate for social security is 6.2% (amount withheld). The employer tax rate for social security is also 6.2% (12.4% total). The 2007 wage base limit was $97,500. For 2008, the wage base limit is $102,000. The maximum amount of wages subject to the social security tax for 2007 is $97,500. There is no limit on the amount of wages subject to the Medicare tax. The maximum amount of wages subject to the social security tax for 2008 is $102,000. There is no limit on the amount of wages subject to the Medicare tax. The maximum 2008 social security withholding is 6.2% up to $102,000, or $6,324.00. Medicare withholding is 1.45% with no maximum.


Not determined yet. Normally isn't until the Federal budget process is complete.


$6045 on the FICA (not including the Medicare tax). There is no limit on the Medicare withholding.


For 2010 with one employer the maximum amount of salary that is subject to the social security tax is 106800 and the maximum social security amount to be withheld on the salary is 6621.60.


When you have one employer the amount of FICA ((OASDI) Old Age Survivor and Disability Insurance) for your social security would stop once your wages with the withheld social security amount reach 106800 and social security amount withheld would be 6621.60 If you need other information about the social security history you use the below enclosed website address to start with for some history. socialsecurity.gov/kids/history.htm


what is the limit on holding social security for 2013


per Publication 15 (Circular E) for 2009:Social security and Medicare tax for 2009. Do not with-hold social security tax after an employee reaches$106,800 in social security wages. There is no limit on theamount of wages subject to Medicare tax. Social securityand Medicare taxes apply to the wages of householdworkers you pay $1,700 or more in cash. Social securityand Medicare taxes apply to election workers who are paid$1,500 or more.So there's still no maximum for Medicare. For social security (FICA), the max is 106,800.


You do not have anyone withholding social security and medicare taxes from a self employed taxpayer income. If you are a self employed taxpayer then you are responsible for all of your own FICA self employment taxes of 15.3% plus any income taxes on your net profit from your business operation at your marginal tax rate. Your first 106800 maximum amount of net profit from the business operation will be subject to the social security tax and your maximum social security payment amount would be 6621.60 All of your net profit from your business operation will be subject to the Medicare tax of 2.90% with no cap.


The wage base limit for social security tax withholding for 2008 is $102,000. The withholding is 6.2%, so the maximum per employee for the year is $6,324. Any amount withheld beyond that limit due to multiple employers is available as a credit against your income tax. If one employer erroneously withheld excess social security tax, that employer should make the correction.


are employees that are currently receiving social security and medicare benefits subject to fica withholding


The 2010 cap is the same as in 2009, $106,800.00, at which point the Social Security amount withheld would be $6,621.60 (6.2%). There is no cap on the Medicare insurance contribution, so the 1.45% amount will continue to be withheld on all earnings, and will be matched by your employer at the 1.45% rate for a total 3.90% for the year.


I have seen monthly checks from social security as low as 694 -1034 a month


When you have one employer the amount of FICA for your social security would stop once your wages with the withheld social security amount reach 106800 and social security amount withheld would be 6621.60


It is now June 2009. The 2010 amounts will not be determined until the end of 2009.


The 2009 and 2010 tax withholding rate are the same. The amount your employer withheld from your earnings was 7.65% for the social security and medicare tax combined, which and the employer matches for a total amount of 15.3%.


=== === The maximum amount of wages subject to Social Security tax for 2008 is $102,000. There is no limit on the amount of wages subject to Medicare tax.


Yes, the amount that is the cap on applicable wages is going up, as it does just about every year.


While receiving social security disability benefits, the maximum amount of additional monthly income allowed from working is $900 a month gross.



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