The Social Security and Medicare programs are financed through FICA taxes on the earnings of American employees and the self-employed. Generally, all workers in the United States must contribute to the two programs.<\/p>\n
The current tax rates is 12.4% and 2.9%, respectively, which are divided equally among the employee and employer, except for the self-employed who pay both halves. However, there are some workers who are not required to pay these taxes.<\/p>\n
SSA is delivering more for the American people:<\/p>\n
\u2705 Serving more customers on the phone
\u2705 Completing more online transactions than ever before
\u2705 Providing greater access to service in person, on the phone, and online<\/p>\n
With less waiting and greater accuracy:<\/p>\n
\u2705 Decreasing phone\u2026<\/p>\n
\u2014 Social Security (@SocialSecurity) July 16, 2026<\/a><\/p>\n Workers exempt from Social Security taxes<\/p>\n Workers who are subject to Social Security taxes must pay their portion on earnings up to $184,500 in the 2026 fiscal year. This amount changes every year to reflect inflation and is determined by the Social Security\u2019s cost-of-living adjustment (COLA)<\/a> announced in October every year. There is no earnings cap on wages for Medicare taxes.<\/p>\n Investopedia<\/a> lists five other groups of people that may be exempt from Social Security taxes. These include the following:<\/p>\n Members of certain religious groupsCertain foreign visitorsSome college studentsFederal employees hired in 1984 or earlierCertain state and local government employees<\/p>\n The self-employed can claim a tax credit for the Social Security taxes that they have paid. The deduction only applies to the half that would have corresponded to contributions made by an employer. <\/p>\n Social Security is making overpayment repayment easier and safer. You can now repay online with .Pay.gov or Online Bill Pay\u2014fast, secure, and convenient.<\/p>\n See how it works and where to get help. \u2014 Social Security (@SocialSecurity) July 23, 2026<\/a><\/p>\n Other workers may be eligible for a deduction based on their Social Security tax contributions but they should consult with a tax advisor to look into their specific situation notes Investopedia.<\/p>\n Related stories<\/p>\n Get closer to the game! Whether you like your soccer of the European variety or that on this side of the pond, our AS USA app has it all. Dive into live coverage, expert insights, breaking news, exclusive videos, and more. Plus, stay updated on NFL, NBA and all other big sports stories as well as the latest in current affairs and entertainment. Download now for all-access coverage<\/a>, right at your fingertips \u2013 anytime, anywhere.<\/p>\n And there\u2019s more: check out our TikTok<\/a> and Instagram reels<\/a> for bite-sized visual takes on all the biggest soccer news and insights.<\/p>\n
Read more on our blog: https:\/\/t.co\/C9claHdH8K<\/a> pic.twitter.com\/iO7UbLa0a4<\/a><\/p>\n