FICA Tax 2026: Rates, Wage Base & Self-Employment Tax Explained
📑 In this guide
FICA is the payroll tax that quietly funds Social Security and Medicare — and in 2026 it got more expensive at the top. The Social Security wage base jumped from $176,100 to $184,500, the biggest inflation-driven increase in years. Here is exactly how the math works, whether you are a W-2 employee or self-employed.
2026 FICA rates at a glance
| Tax | Rate (employee) | Wage cap | Max (2026) |
|---|---|---|---|
| Social Security (OASDI) | 6.2% | $184,500 | $11,439 |
| Medicare (HI) | 1.45% | None | Unlimited |
| Additional Medicare | +0.9% | Above $200k single / $250k MFJ | — |
| Employee total | 7.65% | — | — |
Your employer pays a matching 7.65%. Self-employed workers pay both halves — the full 15.3% under SECA (12.4% Social Security + 2.9% Medicare).
Source: IRS Pub. 15 (2026); SSA wage base announcements.
Why the wage base matters
The $184,500 wage base means two workers with very different salaries can pay the same Social Security tax:
- Worker A earns $100,000 → SS tax = 6.2% × $100,000 = $6,200
- Worker B earns $300,000 → SS tax = 6.2% × $184,500 = $11,439 (the cap)
Worker B’s earnings above $184,500 escape the Social Security tax entirely (but still pay Medicare). This is the “regressive cap” that retirement planners point out — high earners pay Social Security tax on a shrinking share of their income.
Additional Medicare Tax
Above the thresholds, the Medicare rate rises from 1.45% to 2.35% on the excess:
- Single filers: wages above $200,000
- Married filing jointly: combined wages above $250,000
- Married filing separately: wages above $125,000
Self-employment tax (SECA) 2026
Freelancers and gig workers pay both halves. The calculation:
- Take 92.35% of net profit (the portion subject to SE tax — it approximates the employer deduction).
- Apply 12.4% Social Security (up to the $184,500 base) + 2.9% Medicare.
- Deduct 50% of the SE tax on your federal income tax return (it represents the employer share).
Example: $100,000 net profit
- Taxable SE earnings: $92,350
- Social Security: $92,350 × 12.4% = $11,451
- Medicare: $92,350 × 2.9% = $2,678
- Total SE tax: $14,129 — and $7,065 is deductible on Form 1040 Schedule 1.
The IRS requires quarterly estimated tax payments if you expect to owe $1,000+.
How to check your own number
Use the free FICA & payroll tax calculator above — enter your wages (or net profit), choose employee or self-employed, and read the Social Security, Medicare, and Additional Medicare breakdown. Then pair it with the 2026 federal income tax estimator for the full federal picture, or the state money data hub to see how much state tax applies where you live.
Educational reference. Retrieved Aug 11, 2026. Confirm rates with IRS Pub. 15 and your payroll department.