Social Security Wage-Base


The Social Security wage base will increase from $128,400 to $132,900 in 2019, higher than the $132,300 projected in the June 2018 Annual Report of The Board of Trustees.



The Medicare tax rate for 2019 remains at 1.45% of all covered earnings for employers and employees.  Effective since 2013, the Additional Medicare Tax of 0.9% applies to earned income of more than $200,000 ($250,000 for married couples filing jointly). Employers withhold this tax on wages in excess of $200,000 regardless of an employee’s filing status.



Below is a comparison of the changes from 2018 -2019


Description 2018 2019  Change
Social Security Tax Rate for Employees 6.20% 6.20% 0
Social Security Rate for Employers 6.20% 6.20% 0
Social Security Wage base $128,400 $132,900 $4,500
Maximum Tax For Employers $7,960.80 $8,239.80 $279.00
Maximum Tax For Employees $7,960.80 $8,239.80 $279.00




Thank you for choosing Paylocity as your Payroll Tax partner. Should you have any questions please contact your Paylocity Account Manager.


This information is provided as a courtesy, may change and is not intended as legal or tax guidance. Employers with questions or concerns outside the scope of a Payroll Service Provider are encouraged to seek the advice of a qualified CPA, Tax Attorney or Advisor.