Office of the Vice President for Global Communications

Monday, January 7, 2013

FICA tax rate returns to 7.65 percent as of Jan. 1

As of Jan. 1, the Social Security tax rate returned to 6.2 percent on the first $113,700 of wages earned. This likely will result in a greater amount being withheld from employees' paychecks.

The Social Security rate was reduced to 4.2 percent in 2011. The reduction was extended for 2012 but was not extended for 2013.

When including the Medicare tax rate of 1.45 percent, the total FICA tax rate as of Jan. 1 is 7.65 percent.