FICA tax
Candidate Trump Offers a Glimpse of Potential Tax Strategy
In his June 9 Las Vegas rally, presumptive Republican presidential nominee Donald Trump announced his intent, if elected, to exempt tip income from “federal taxation.” Left undefined, though, is whether he’s referring to federal income tax or FICA tax (the…
Ask Rusty – Why Must I Pay Into Social Security when I’m Collecting Benefits?
Dear Rusty: I am collecting full Social Security benefits at age 72 and also working full time. Why is the Federal Government still taking money from my paycheck? I have written to Social Security experts on this issue, and they…
Bill Introduced to Eliminate Federal Income Tax on Social Security Benefits
Last week, Rep. Angela Craig (D-MN) introduced a House Bill intended to accomplish two tax-related objectives having an impact on Social Security. Social Security Chief Actuary, Stephen C. Goss, subsequently assessed the financial effects of the proposed Bill, noting that…
FICA Taxes Explained
Even though it’s the basis for one’s eventual Social Security benefits– retirement benefits, spousal benefits, survivor benefits, disability benefits, and so on–there are a few points relative to Federal Insurance Contributions Act (FICA) taxes that many folks do not fully understand.…
Paying FICA Tax While Drawing Social Security Benefits
Many folks remain in the workforce after claiming their Social Security retirement benefits, some on a part time basis, some full time. Often one of their beliefs is that continuing to be subject to the payroll tax—the FICA tax—will increase…
Social Security Payroll Tax Cut Now in the News
Even as the talk of an increase in the Social Security Tax rate (also popularly known as FICA tax) to fund the program expansion advocated by H.R. 860 (The Social Security 2100 Act) unfolds in Congress, conversation has emerged in…
Social Security 2100: The Coming Debate
It’s probably no secret to our site visitors that Social Security’s future is entering the home stretch toward an insecure future–a future in which benefits could face cuts in the neighborhood of 20-25%, depending on which pundit you subscribe to. That…
Thoughts on Removing the Tax Cap to Save Social Security
Although it’s been a fairly constant part of many Social Security reform proposals, the removal of the annual limit on earnings subject to FICA tax as a way to address the program’s solvency issue continues to stall in the face of…