What Is FICA?
FICA stands for the Federal Insurance Contributions Act. It is the payroll tax that funds Social Security and Medicare. Both employees and employers pay FICA taxes, with each side contributing an equal share. Self-employed individuals pay both the employee and employer portions through the self-employment tax.
FICA taxes are mandatory for nearly all workers in the United States. Social Security provides retirement, disability, and survivor benefits, while Medicare funds healthcare for individuals age 65 and older.
2026 FICA Tax Rates
| Tax Component | Employee Rate | Employer Rate | Self-Employed Rate |
|---|---|---|---|
| Social Security | 6.2% | 6.2% | 12.4% |
| Medicare | 1.45% | 1.45% | 2.9% |
| Total FICA | 7.65% | 7.65% | 15.3% |
Social Security Wage Base
The 2026 Social Security wage base is $184,500. Only earnings up to this threshold are subject to the 6.2% Social Security tax. Any wages above $184,500 are exempt from Social Security tax but remain subject to Medicare tax (which has no wage cap).
| Detail | 2026 Amount |
|---|---|
| Wage Base Limit | $184,500 |
| Max Employee SS Tax | $11,439.00 |
| Max Employer SS Tax | $11,439.00 |
| Max Combined SS Tax | $22,878.00 |
The wage base is adjusted annually by the Social Security Administration based on changes in the national average wage index. For reference, the 2025 wage base was $176,100 and the 2024 base was $168,600 — the 2026 increase to $184,500 is a 4.8% jump.
Additional Medicare Tax Thresholds
High earners owe an extra 0.9% Additional Medicare Tax on wages exceeding certain thresholds. This surtax is paid by employees only — employers do not match it.
| Filing Status | Threshold | Additional Rate |
|---|---|---|
| Single | $200,000 | 0.9% |
| Married Filing Jointly | $250,000 | 0.9% |
| Married Filing Separately | $125,000 | 0.9% |
| Head of Household | $200,000 | 0.9% |
The Additional Medicare Tax applies to wages, compensation, and self-employment income above the threshold. Unlike the standard Medicare tax, employers do not withhold it automatically until wages exceed $200,000 (regardless of filing status), so some filers may owe additional tax at filing time.
Self-Employment Tax
Self-employed individuals pay both the employee and employer portions of FICA, for a combined rate of 15.3%. However, the tax applies to only 92.35% of net self-employment earnings (the 7.65% reduction accounts for the employer-equivalent portion).
Calculation example: If your net self-employment income is $100,000, you first multiply by 92.35% to get $92,350. Then apply 15.3% for a self-employment tax of $14,129.55. The Social Security portion (12.4%) applies only up to the $184,500 wage base, while the Medicare portion (2.9%) applies to all earnings with no cap.
Self-employed individuals can deduct the employer-equivalent half of their self-employment tax (7.65%) as an above-the-line deduction on their income tax return.
Calculate your exact self-employment tax with our free tool
Open SE Tax Calculator →Source: SSA 2026 COLA fact sheet (2026 OASDI contribution and benefit base). FICA rates themselves are set by statute at IRC §§ 3101 and 3111.
Frequently Asked Questions
What is the FICA tax rate for 2026?
The 2026 FICA tax rate is 7.65% for employees (6.2% Social Security + 1.45% Medicare). Employers pay a matching 7.65%, bringing the total combined rate to 15.3%. Self-employed individuals pay the full 15.3% on 92.35% of their net earnings.
What is the Social Security wage base for 2026?
The 2026 Social Security wage base is $184,500. Only earnings up to this amount are subject to the 6.2% Social Security tax. The maximum Social Security tax an employee will pay in 2026 is $11,439.00 ($184,500 x 6.2%).
Who pays the Additional Medicare Tax in 2026?
The 0.9% Additional Medicare Tax applies to individuals with wages exceeding $200,000 (single), $250,000 (married filing jointly), or $125,000 (married filing separately). Only employees pay this surtax; employers do not match it. It applies on top of the standard 1.45% Medicare tax.
How is self-employment tax calculated in 2026?
Self-employment tax is 15.3% (12.4% Social Security + 2.9% Medicare) applied to 92.35% of net self-employment earnings. The 92.35% factor accounts for the employer-equivalent portion. The Social Security component applies only up to the $184,500 wage base, while Medicare has no earnings cap.
How this page is reviewed
See methodology, assumptions & sources
| Risk tier | High YMYL |
|---|---|
| Author | Calculover Editorial Team Finance and legal education |
| Editorial owner | Calculover Tax & Payroll Desk Tax and wage methodology owner |
| Reviewer | Calculover Editorial Review High-risk source and limitation review |
| Last reviewed | 2026-07-31 |
| Last verified | 2026-07-31 |
| Data effective date | 2026-01-01 |
Methodology
2026 FICA Tax Rates, Social Security Wage Base & Medicare Tax applies the tax-rate, threshold, and taxable-base logic documented in the calculator formula section, then separates user-entered assumptions from statutory or source-linked rate inputs.
Assumptions
- 2026 FICA Tax Rates, Social Security Wage Base & Medicare Tax relies on the values the user enters and does not independently verify income, balances, legal status, policy terms, or market quotes.
- Taxable income, deductions, credits, filing status, jurisdiction, and timing are simplified to the fields available in the calculator.
- Federal, state, local, and international tax rules can change after the listed last-verified date.
Limitations
- 2026 FICA Tax Rates, Social Security Wage Base & Medicare Tax does not prepare a tax return, determine final liability, apply every credit or deduction, or account for all state, local, foreign, penalty, or surtax rules.
- Confirm current forms, thresholds, and filing obligations with the IRS, the relevant tax authority, or a qualified tax professional before filing or paying tax.
Sources
- Federal Income Tax Rates and Brackets, Internal Revenue Service
- Estimated Taxes, Internal Revenue Service
Professional guidance: 2026 FICA Tax Rates, Social Security Wage Base & Medicare Tax is for tax education and planning only and is not tax, legal, accounting, or filing advice. Verify current rules with the relevant tax authority or a qualified tax professional.