Social Security taxable wage base announced for 2017

ss-taxableIn 2017, the Social Security wage base will increase to $127,200, up $8,700 from the 2016 wage base. The maximum Social Security tax employees and employers will each pay in 2017 is $7,886.40 ($127,200 x 6.2%).

The employer’s portion of Medicare tax remains unchanged at 1.45 percent. Wages paid in excess of $200,000 are subject to the 0.9 percent Additional Medicare Tax and are withheld from only the employees’ wages.