Contact UsWhen the US Government talks about a tax payroll cut are they talking about a cut for employees, employers or both?
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Tax Professional Answers
William Keats
Payroll taxes, other than income taxes, include the FICA (Social Security tax) and the Medicare tax.
The FICA rate is 6.2% and the Medicare rate is 1.45%, for a total of 7.65%. This rate is the same for the employee and the employer. What affects one also affects the other. A self-employed person pays a rate of 15.3%.
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554 weeks ago
The FICA rate is 6.2% and the Medicare rate is 1.45%, for a total of 7.65%. This rate is the same for the employee and the employer. What affects one also affects the other. A self-employed person pays a rate of 15.3%.