On October 13, the Social Security Administration (SSA) announced that the 2023 social security wage base will be $160,200, which is an increase of $13,200 from $147,000 in 2022 [SSA, Press Release, 10-13-22]. The SSA Fact Sheet is available at https://www.americanpayroll.org/compliance/compliance-overview/annual-irs-annoucements.
Maximum social security tax. The maximum social security tax employees and employers will each pay in is $9,932.40, an increase of $818.40 from $9,114.00 in 2022.
For more information, see the APA Compliance Update. Compliance updates are emailed to APA members and are also available on the Compliance Updates webpage.
To learn more about federal and state laws, regulations, and information to keep your company's payroll operations in compliance, check out Payroll Source Plus!
Jyme Mariani, Esq., is Managing Editor of Payroll Currently and Senior Manager of Payroll Information Resources for the APA.
