2026 Payroll Tax Rates

By Mustafa Bilgic · Last updated 20 June 2026

Here are the verified 2026 payroll tax rates employers and employees need: FICA totals 7.65% (6.2% Social Security on wages up to the $184,500 wage base, plus 1.45% Medicare with no cap), the additional 0.9% Medicare tax over $200,000, FUTA, and the 2026 federal income-tax brackets and standard deductions. All figures below are confirmed against IRS Revenue Procedure 2025-32 and the Social Security Administration. Use the quick estimator to apply them to any wage.

This calculator provides estimates for educational purposes only and is not tax advice. Tax outcomes depend on your full return, withholding elections, pre-tax deductions, and local rules. Consult a qualified tax professional or official IRS and state guidance for your specific situation.

2026 Payroll Tax Quick Estimator

Enter wages and press Show.

2026 FICA Rates (Social Security + Medicare)

TaxEmployee rate2026 wage baseEmployer rate
Social Security (OASDI)6.2%$184,5006.2%
Medicare (HI)1.45%No cap1.45%
Additional Medicare+0.9%Over $200,000None
Combined FICA7.65%7.65%

The maximum 2026 Social Security tax is $184,500 × 6.2% = $11,439 per worker. Medicare has no cap, and the additional 0.9% Medicare tax is employee-only on wages above $200,000 (single) / $250,000 (married).

2026 Federal Income Tax Brackets (Single)

Taxable income (single)Rate
$0 – $12,40010%
$12,400 – $50,40012%
$50,400 – $105,70022%
$105,700 – $201,77524%
$201,775 – $256,22532%
$256,225 – $640,60035%
$640,600+37%

Married-filing-jointly brackets are roughly double these widths, topping out at 37% above $768,700. The 2026 standard deduction is $16,100 (single) and $32,200 (married filing jointly), applied before the brackets.

2026 FUTA and SUTA (Employer Unemployment Taxes)

The Federal Unemployment Tax Act (FUTA) rate is 6.0% on the first $7,000 of each employee’s wages, but employers in most states get a 5.4% credit for paying state unemployment tax on time, dropping the effective FUTA rate to 0.6% ($42 per employee per year). State Unemployment (SUTA) rates and wage bases vary widely by state and by the employer’s experience rating. See the FUTA/SUTA employer calculator for the full employer cost.

2026 Supplemental Wage Withholding

Bonuses, commissions, and other supplemental wages are withheld at a flat 22% federal rate under the percentage method, rising to 37% on supplemental pay above $1 million in a calendar year. FICA still applies on top. Estimate a specific bonus with the 2026 bonus tax calculator.

2026 Self-Employment Tax

Self-employed workers pay both halves of FICA: 15.3% (12.4% Social Security up to $184,500 + 2.9% Medicare), figured on 92.35% of net profit, with half deductible. Run your own figures through the self-employment tax calculator.

What Changed for 2026

The headline change is the Social Security wage base rising from $176,100 (2025) to $184,500 (2026), so high earners pay Social Security on $8,400 more of wages — about $521 more in tax. The brackets and standard deductions also rose roughly 2.7% for inflation. Medicare rates, the additional Medicare threshold ($200,000), and the 22% supplemental rate are unchanged.

Frequently Asked Questions

What is the FICA rate for 2026?

FICA is 7.65% total for employees in 2026: 6.2% Social Security on wages up to the $184,500 wage base, plus 1.45% Medicare on all wages. Employers match the 7.65%. An additional 0.9% Medicare tax applies to employees above $200,000.

What is the 2026 Social Security wage base?

The 2026 Social Security (OASDI) wage base is $184,500, up from $176,100 in 2025. The maximum Social Security tax per worker is $11,439 (6.2% of $184,500). Medicare has no wage cap.

What is the FUTA rate for 2026?

FUTA is 6.0% on the first $7,000 of each employee’s wages, but most employers receive a 5.4% credit for timely state unemployment payments, making the effective FUTA rate 0.6%, or about $42 per employee per year.

What is the 2026 standard deduction?

For 2026 the standard deduction is $16,100 for single filers and $32,200 for married couples filing jointly. It is subtracted from income before the federal tax brackets are applied.

What is the supplemental wage tax rate for 2026?

Supplemental wages such as bonuses are withheld at a flat 22% federal rate under the percentage method, rising to 37% on amounts over $1 million in a year. FICA applies on top of the supplemental withholding.