The combined Social Security (6.2%) and Medicare (1.45%) tax withheld from employee wages.
Employers match both halves. Social Security tax stops once wages hit the annual wage base ($176,100 in 2025); Medicare tax has no cap and adds an extra 0.9% above $200,000.
Formula: FICA = 6.2% (to wage base) + 1.45% (uncapped)
Example: A $90,000 salary pays $6,885 in FICA (employee half); the employer pays a matching $6,885.
FAQ
What is FICA Tax in simple terms?
Employers match both halves. Social Security tax stops once wages hit the annual wage base ($176,100 in 2025); Medicare tax has no cap and adds an extra 0.9% above $200,000.
How is it calculated?
FICA = 6.2% (to wage base) + 1.45% (uncapped). Example: A $90,000 salary pays $6,885 in FICA (employee half); the employer pays a matching $6,885.