Effective January 1, 2025, the U.S. Social Security Administration will increase the maximum earnings subject to the Social Security payroll tax by $7,500 (from $168,600 in 2024 to $176,100 in 2025).
Note: Additional 0.9% Medicare tax withholding on Federal Insurance Contributions Act (FICA) wages greater than $200,000 ($250,000 for married couples filing jointly) in a calendar year (paid by the employee).
Source: U.S. Social Security Administration
The Internal Revenue Service (IRS) has announced 2025 retirement plan contribution limits, as well. Learn more by taking a look at our recent post highlighting the major changes.
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