The Social Security Administration announced on October 14 that the 2027 social security wage base will be $192,300, an increase of $7,800 from $184,500 in 2026. As in prior years, there is no limit to the wages subject to the Medicare tax; therefore, all covered wages are subject to the 1.45% tax. As in 2026, wages paid in excess of $200,000 in 2027 will be subject to an extra 0.9% Medicare tax that will only be withheld from employees’ wages.
Maximum social security tax. The maximum social security tax employees and employers will each pay in 2027 is $11,922.60, an increase of $483.60 from $11,439 in 2026.
For More Information
For more information, see the PAYO Compliance Update, 2027 Social Security Wage Base Increases to $192,300 for 2027. Compliance updates are emailed to PayrollOrg 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 Director of Payroll Information Resources for PayrollOrg.
