What is the Social Security Tax Rate?

The social security tax rate consists of 6.20% for Social Security tax and 1.45% for Medicare tax which totals 7.65%. For 2009, the 6.20% Social Security tax is deducted from an employee’s total taxable income up to $106,800. The Medicare tax is levied on every dollar that one earns. The employer also matches this 7.65% contribution. Therefore, If you are self-employed, you pay a total of 15.30%. The question on many people’s minds is: when I retire, will MY money be there? Look here for more information: