Payroll Tax Calculator 2025
Calculate FICA taxes (Social Security + Medicare) for employees, employers, and self-employed individuals.
2025 Payroll Tax Rates Quick Reference
| Tax | Employee | Employer | Wage Cap / Notes |
|---|---|---|---|
| Social Security | 6.2% | 6.2% | $176,100 wage base (2025) |
| Medicare | 1.45% | 1.45% | No cap; applies to all wages |
| Additional Medicare | 0.9% | None | Employee only; wages > $200K (single) / $250K (MFJ) |
| FUTA | None | 0.6% | First $7,000 wages (effective rate after credit) |
| SUTA | Varies | Varies | State-specific; based on experience rating |
| Self-Employment Tax | 15.3% | N/A | On 92.35% of net; half is AGI-deductible |
Understanding Payroll Taxes
Payroll taxes are distinct from income taxes. FICA contributions (Social Security and Medicare) are withheld from your paycheck and matched by your employer — effectively doubling the cost to the employer. For a $75,000 salary, the employer pays roughly $5,700 in additional FICA on top of the salary.
For self-employed individuals, the full 15.3% SE tax is a significant planning consideration. Forming an S-corp and paying yourself a reasonable salary can reduce SE tax exposure on distributions above your salary, though accounting costs and compliance requirements must be weighed.
Social Security Wage Base History
The SS wage base increases almost every year with inflation. It was $147,000 in 2022, $160,200 in 2023, $168,600 in 2024, and $176,100 in 2025. High earners should track when they hit the cap mid-year, as their effective FICA rate drops dramatically after that point.
Frequently Asked Questions
Related Calculators
Based on 2025 IRS rates. Does not include state taxes, federal/state income tax withholding, pre-tax deductions (401k, HSA), or other payroll adjustments. Consult a payroll professional or IRS Publication 15 for authoritative guidance.