What is OASDI Tax? Rate, Limit & Everything You Need to Know (2026)
Updated April 2026 · 10 min read
OASDI Tax Definition
OASDI (Old-Age, Survivors, and Disability Insurance) is a federal payroll tax that funds the Social Security program. Every working American pays into this system through payroll deductions, and the funds are used to provide:
- Old-Age (Retirement) Benefits — Monthly payments to eligible retirees (typically starting at age 62-67)
- Survivors Benefits — Payments to spouses and dependents of deceased workers
- Disability Insurance (DI) — Income for workers who become disabled and unable to work
2026 OASDI Tax Rate & Wage Base Source: SSA.gov
| Detail | 2026 Amount |
|---|---|
| Employee OASDI Rate | 6.2% |
| Employer OASDI Rate | 6.2% |
| Self-Employment OASDI Rate | 12.4% |
| Taxable Wage Base (Cap) | $184,500 |
| Maximum Employee OASDI Tax | $11,439.00 |
How OASDI Tax Appears on Your Paycheck
OASDI is deducted automatically from every paycheck. Different payroll systems use different labels:
- "OASDI" or "OASDI/EE" — Employee share of Social Security
- "Social Security" or "SS Tax"
- "FICA-SS" — The Social Security portion of FICA
- "Fed OASDI/EE" — Federal OASDI, Employee share
Example: OASDI on a $75,000 Salary (Bi-Weekly)
| Period | Gross Pay | OASDI (6.2%) |
|---|---|---|
| Per Paycheck (bi-weekly) | $2,884.62 | $178.85 |
| Monthly | $6,250.00 | $387.50 |
| Annual | $75,000.00 | $4,650.00 |
OASDI Wage Base Limit — The Cap
A crucial feature of OASDI tax is the wage base limit — the maximum amount of earnings subject to the tax. In 2026, this cap is $184,500. Once your cumulative earnings for the year exceed this amount, no additional Social Security tax is withheld.
OASDI vs. FICA — What's the Difference?
FICA (Federal Insurance Contributions Act) is the umbrella term that includes both Social Security (OASDI) and Medicare taxes:
| Tax | Employee Rate | Wage Cap |
|---|---|---|
| OASDI (Social Security) | 6.2% | $184,500 |
| Medicare (HI) | 1.45% | None |
| Additional Medicare | 0.9% | >$200,000 |
| Total FICA | 7.65% | Mixed |
OASDI for Self-Employed Workers
Self-employed individuals pay both the employee and employer portions, for a combined 12.4% OASDI rate (plus 2.9% Medicare = 15.3% total self-employment tax). However, you can deduct the employer-equivalent portion (50%) on your income tax return. See our self-employment tax calculator for a complete breakdown.
Historical OASDI Wage Base Changes
| Year | Wage Base | Max Employee Tax |
|---|---|---|
| 2026 | $184,500 | $11,439.00 |
| 2025 | $184,500 | $11,439.00 |
| 2024 | $168,600 | $10,453.20 |
| 2023 | $160,200 | $9,932.40 |
| 2022 | $147,000 | $9,114.00 |
Do I Get OASDI Money Back?
OASDI is not refundable on your tax return (it's not like income tax withholding). However, the money funds your future Social Security benefits. Your benefit amount is calculated based on your highest 35 years of OASDI-covered earnings.