Q:

What is the federal withholding percentage?

A:

Quick Answer

As of 2015, the federal withholding percentage is 7.65 percent for taxpayers who work as employees, according to the Society for Human Resource Management. The Social Security portion comes to 6.2 percent, while the Medicare portion is 1.45 percent.

Continue Reading

Full Answer

Self-employed individuals pay twice these percentages, since employers also pay the same withholding percent as employees. The maximum amount of earnings taxed for Social Security is $118,500 for single taxpayers, notes the Society for Human Resource Management. Single taxpayers who make more than $200,000 per year pay an additional 0.9 percent Medicare tax for amounts above that threshold. The added Medicare tax for high earners comes from provisions in the Affordable Care Act, while the maximum Social Security tax income level rose from $117,000 in 2014.

Learn more about Income Tax
Sources:

Related Questions

Explore