How much SS tax and medicare tax are you paying

TaxThis is how it is calculated.

Gross income – medical and dental insurance premiums – HSA contribution – Uniform allowance =  Income that these taxes based on.

6.2 %  goes to social security

1.45% goes to Medicare

For Example

Gross income  4,000

medical and dental insurance premium   200

HSA Contribution      200

Uniform allowance   0

4,000-200-200= 3,600

6.2 % of    3,600=   223 to social Security   [ Until you reach yearly maximum 7,886.4 ]

1.45 % of 3,600 = 52  to Medicare.   [No max amount for this.]

Total of 7.65 % goes this route.

Best book to read before you start investing.

The Simple Path to Wealth: Your roadmap to financial independence and a rich, free life

I like audiobook versions of this book

Try Audible and Get Two Free Audiobooks


Leave a Reply