Payroll Tax Calculator (USA)
Calculate payroll taxes for employees and employers in the United States. See Social Security, Medicare, and total payroll tax breakdown.
Calculate Payroll Taxes
What Are Payroll Taxes in the USA?
Payroll taxes are mandatory taxes withheld from employee wages and paid by employers to fund Social Security and Medicare programs.
Payroll Taxes Paid by Employees
- Social Security: 6.2%
- Medicare: 1.45%
Payroll Taxes Paid by Employers
- Social Security: 6.2%
- Medicare: 1.45%
Total Payroll Tax Breakdown
| Type | Employee | Employer |
|---|---|---|
| Social Security | 6.2% | 6.2% |
| Medicare | 1.45% | 1.45% |
Why Payroll Taxes Matter
Payroll taxes increase total employment costs for businesses and reduce take-home pay for employees. Understanding payroll tax helps with budgeting and salary planning.
Frequently Asked Questions (FAQs)
Do payroll taxes apply to all employees?
Yes, most employees are subject to payroll taxes under federal law.
Is payroll tax the same as income tax?
No. Payroll tax funds Social Security and Medicare, while income tax funds government operations.
Who pays more payroll tax: employer or employee?
Both pay equal amounts for Social Security and Medicare.
Is payroll tax capped?
Social Security tax is capped at an annual wage base limit. Medicare has no cap.
Do self-employed people pay payroll tax?
Self-employed individuals pay self-employment tax instead.
Related USA Salary Calculators
- Self-Employed Income Calculator (USA)
- Salary After Tax Calculator (USA)
- Take-Home Pay Calculator (USA)
- Gross to Net Salary Calculator (USA)
Disclaimer
This calculator provides estimates only and does not constitute tax or legal advice.