Social Security / Medicare

Social Security Contribution Limits

2020 - $137,700

Social Security Tax Rate

Employee - 6.2%

Employer - 6.2%

Medicare Contribution Limits

2020 - None, All income is taxed. Additional tax on high earners.

Medicare Tax Rate

Employee - 1.45%
Additional - 0.9% on income over $200,000 for Singles and $250,000 On Married Filing Jointly

Employer - 1.45%

Social Security Benefits

Base Amount of Modified AGI causing Social Security benefits to be taxable in 2020

MAGI Not Taxable Up to 50% Taxable Up to 85% Taxable
Married Filing Jointly Under $32,000 $32,000-$44,000 Over $44,000
Single Under $25,000 $25,000-$34,000 Over $34,000

Full Retirement Age

Year of Birth Full Retirement Age Year of Birth Full Retirement Age
1937 65 1955 66yr 2mo
1938 65yr 2mo 1956 66yr 4mo
1939 65yr 4mo 1957 66yr 6mo
1940 65yr 6mo 1958 66yr 8mo
1941 65yr 8mo 1959 66yr 10mo
1942 65yr 10mo 1960+ 67
1943-1954 66

You can still retire when you are 62 but you will only recieve a portion of your benefits. A chart can be found here.

Maximum Earnings before Social Security benefits are reduced

In 2020 Limit How Much
Before Full Retirement $17,040 Lose $1 for every $2 of earnings
Year of Full Retirement $45,360 Lose $1 for every $3 of earnings
After Full Retirement No Limit Not Reduced
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