As you may have already heard, part of the tax changes
taking effect for 2013 include an increase to the Social Security tax (Fed
OASDI/EE as it is stated on your North Shore-LIJ pay statement.)
In 2012, the Social Security tax had been lowered to 4.2%
based on a payroll tax cut that expired Dec. 31, 2012, and it was determined by
the government to not be extended further.
Social Security will now be taxed at 6.2% on annual
earnings for salaries up to $113,700.
How does this
impact me?
To determine how you are personally taxed, simply take
your annual pay and multiply it by 6.2%.
For example: an employee making $35,000
annually would multiply 35,000 × .062 for a total of $2,170 in 2013. The previous tax would be 35,000 × .042, for
a total of $1,470.
Calculate your
Social Security tax: (salary × .062)
= the amount withdrawn in 2013
|
Salary
|
Amount Withdrawn in 2013
|
Amount Withdrawn in 2012
|
|
$35,000
|
$2,170
|
$1,470
|
|
$50,000
|
$3,100
|
$2,100
|
|
$65,000
|
$4,030
|
$2,730
|
|
$90,000
|
$5,580
|
$3,780
|
|
$113,700
(maximum)
|
$7,049
|
$4,775
|
