{"id":4722,"date":"2010-12-24T13:32:42","date_gmt":"2010-12-24T18:32:42","guid":{"rendered":"https:\/\/old.visionpayroll.com\/kb\/?p=4722"},"modified":"2010-12-24T13:50:36","modified_gmt":"2010-12-24T18:50:36","slug":"question-of-the-week-what-is-the-maximum-amount-of-social-security-withholding-tax-for-2011","status":"publish","type":"post","link":"https:\/\/old.visionpayroll.com\/kb\/2010\/12\/question-of-the-week-what-is-the-maximum-amount-of-social-security-withholding-tax-for-2011\/","title":{"rendered":"Question of the Week: What is the Maximum Amount of Social Security Withholding Tax for 2011?"},"content":{"rendered":"
\r\n\t\"What<\/a>\r\n\t
What is the Maximum Amount of Social Security Withholding Tax for 2011?<\/div>\r\n<\/div>This week\u2019s question comes from\u00a0Adrienne, a sales manager. I normally earn\u00a0in excess of\u00a0the FICA limit ($106,800 in 2010 and 2011). I know the social security withholding rate has been reduced for 2011. What is the maximum amount of social security withholding tax \u00a0(sometimes called FICA tax)for 2011? Answer: The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (2010 Tax Act) reduced the rate for social security withholding tax (sometimes called FICA tax) from 6.2% to 4.2%. Since the wage base remains at $106,800, the maximum social security withholding tax for 2011 by one employer from one employee will be $4,485.60 ($106,800 X 4.2%).<\/p>\n

Employer Withholding Rate Remains at 6.2%<\/strong><\/p>\n

There was no change in the rate of social security tax paid by an employer on an employee\u2019s wages. Since the rate remains 6.2%, the maximum employer social security tax for 2011 by one employer for one employee will be $6,621.60 ($106,800 X 6.2%).<\/p>\n

Employees May Have More Withholding if They Have Two or More Jobs<\/strong><\/p>\n

The wage base is generally applied on an employer-by-employer basis. Employees who earn more than $106,800 combined at two or more jobs could have social security withholding in excess of $4,485.60 in 2011. Withholding will stop\u00a0at a job only when the employee reaches the maximum at each individual job. There are exceptions to this rule for situations such as common paymasters and successor employers.<\/p>\n

Employees Can Receive Credit on Form 1040 for Excess FICA Withholding<\/strong><\/p>\n

Even though the employer must pay the full tax and withhold it from the employee, amounts withheld above the maximum can be claimed as a credit on Form 1040<\/a>. For tax year 2010, enter any excess FICA tax withheld by two or more employers on line 69 of Form 1040<\/a> and reduce your balance due or increase your overpayment by the amount of the excess.<\/p>\n

Contact Vision Payroll for More Information on Social Security Withholding Tax<\/strong><\/p>\n

Contact Vision Payroll<\/a> if you have any questions on social security withholding tax or visit our Important Facts and Figures<\/a> page for further information.<\/p>\n","protected":false},"excerpt":{"rendered":"

What is the Maximum Amount of Social Security Withholding Tax for 2011? This week\u2019s question comes from\u00a0Adrienne, a sales manager. I normally earn\u00a0in excess of\u00a0the FICA limit ($106,800 in 2010 and 2011). I know the social security withholding rate has been reduced for 2011. What is the maximum amount of social security withholding tax \u00a0(sometimes […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[4],"tags":[412,1064,552,73,553,551,550,44,178,222,1432,242],"_links":{"self":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts\/4722"}],"collection":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/comments?post=4722"}],"version-history":[{"count":5,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts\/4722\/revisions"}],"predecessor-version":[{"id":4728,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/posts\/4722\/revisions\/4728"}],"wp:attachment":[{"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/media?parent=4722"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/categories?post=4722"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/old.visionpayroll.com\/kb\/wp-json\/wp\/v2\/tags?post=4722"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}