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PayslipIQUSA

Medicare tax on your paycheck

1.45% of all wages, with an additional 0.9% over $200,000.

Medicare tax funds the federal Medicare program. The base employee rate is 1.45% of all wages with no wage base limit. An Additional Medicare Tax of 0.9% applies to wages above $200,000 in a calendar year (employer withholding threshold).

How it usually appears

Category: mandatory

Aliases on a stub: MED, Medicare

Tax interaction

  • Reduces federal taxable wages: No
  • Reduces FICA wages: No
  • Reduces state taxable wages: Usually no

Official sources

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