Social Security Wage Base Increases in 2017
The Social Security maximum taxable earnings will rise from $118,500 in 2016 to $127,200 in 2017. Taxpayers will pay a maximum of $7,886.40 in 2017, an increase of $539.40 from 2016’s maximum amount.
Social Security beneficiaries will receive an 0.3% increase in benefits in 2017. The average retiree will receive $5 more per month in benefits.
Social Security rate remains unchanged at 6.20%.
For Medicare taxes, all earnings continue to be taxable and the rate remains at 1.45%. Taxpayers earning more than $200,000 are also subject to the Additional Medicare Tax of 0.9%.
For more details about the 2017 Social Security changes visit: https://www.ssa.gov/news/press/factsheets/colafacts2017.pdf