What is FICA tax?
FICA is Social Security plus Medicare on a paycheck. In 2026 that is 6.2% up to $184,500, and 1.45% on all wages. Ordinary wages do not get a choice about it.
Two taxes, one nickname
FICA is the Federal Insurance Contributions Act. On a stub it is Social Security plus Medicare. Some payroll systems print one combined total. Most print two lines, and the Social Security line may say OASDI. The federal income-tax line beside them follows Form W-4, and you can change it. Ordinary wages do not get a choice about FICA.
On the $2,500 Texas example, Social Security is $155.00 and Medicare is $36.25. Together that is $191.25, which is 7.65% of the gross pay. Income tax on that same check is a separate $216.15. Adding them and calling the sum “taxes” is how a raise gets miscounted. Keep the lines apart. They follow different rules. The OASDI article is the Social Security half on its own.
What you pay, and what the company pays beside you
In 2026 the employee rates are 6.2% for Social Security, up to $184,500 of wages at that employer, and 1.45% for Medicare on all wages. The most Social Security withheld is $11,439. The company matches both of those rates. The match is a cost to the employer. It is not deducted a second time from you, so it usually does not appear as a line that reduces the deposit.
Additional Medicare has no match. After $200,000 of wages from one employer, you pay an extra 0.9%. The W-4 filing status does not move that $200,000 threshold. The employer does not match the 0.9%. A second job does not tell the first job about the combined wages. Each employer starts its own count.
What leaves the check, and what waits for the return
A bonus is still wages. The flat 22% withheld from many bonuses is federal income tax. Social Security and Medicare still apply to the bonus until Social Security has already hit the wage base at that employer. The deduction for qualified overtime, and the earned income credit, are settled on the tax return. They do not erase FICA on the paycheck.
A traditional 401(k) does not reduce FICA. Health insurance taken pre-tax through a cafeteria plan usually does, because those dollars were never Social Security or Medicare wages. Federal unemployment tax is a different bill, paid by the employer, and the FUTA article is where that $42 figure is explained. Change the wage in the calculator above to see FICA on your own check. Reading the stub shows where those two lines sit between gross pay and the deposit.
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Questions
What are the 2026 employee rates?
Social Security is 6.2% up to $184,500. Medicare is 1.45% with no cap. Additional Medicare is 0.9% after $200,000 from one employer.
Does the employer pay the same amount?
The employer matches Social Security and the 1.45% Medicare tax. The employer does not match Additional Medicare.
Is FICA withheld on a bonus?
Yes, unless the wage base is already met for Social Security. The 22% bonus withholding rate is federal income tax, not FICA.
Can the overtime deduction lower FICA?
No. The deduction is claimed on the income tax return. FICA is figured on the wages.