Additional Medicare Tax

The Additional Medicare Tax is added by the Affordable Care Act (ACA). It applies to wages, railroad retirement (RRTA) compensation, and self-employment income over certain threshold amount received in taxable years beginning after Dec. 31, 2012. Employers are responsible for withholding the tax on wages and RRTA compensation in certain circumstances. Tax rate is 0.9 […]

Household Employer’s Tax Guide

Publication 926 – Introductory Material What’s New Reminder Introduction Tax questions. Publication 926 – Main Content Do You Have a Household Employee? Can Your Employee Legally Work in the United States? Do You Need To Pay Employment Taxes? Social Security and Medicare Taxes Federal Unemployment (FUTA) Tax Do You Need To Withhold Federal Income Tax? […]

Household Workers: Social Security, Medicare, W-2,

If you hire someone to work in your home, such as a cleaning person, a cook, a gardener or a baby sitter, both you and your employee should know about paying Social Security and Medicare taxes. Your household employee may be eligible for Social Security and Medicare some day—if you deduct Social Security and Medicare […]

Self-Employed – Social Security and Medicare Payments

You are self-employed if you operate a trade, business or profession, either by ­yourself or as a partner. You report your earnings for Social Security when you file your federal income tax return. If your net earnings are $400 or more in a year, you must report your earnings on Schedule SE in addition to […]