Video: What Is Social Security Tax?
Social security tax is collected by the government to fund the benefits of retirees and those unable to work. Both employers and employees contribute to this tax. If you’re self-employed, you pay both the employer and employee portions of the Social Security tax. Discover how much you owe in Social Security taxes with help from TurboTax in this video.
The One Big Beautiful Bill that passed includes permanently extending tax cuts from the Tax Cuts and Jobs Act, including increasing the cap on the amount of state and local or sales tax and property tax (SALT) that you can deduct, makes cuts to energy credits passed under the Inflation Reduction Act, makes changes to taxes on tips and overtime for certain workers, reforms Medicaid, increases the Debt ceiling, and reforms Pell Grants and student loans. Updates to this article are in process. Check our One Big Beautiful Bill article for more information.
Video transcript:
Ever wonder what the Social Security tax is? In this edition of Tax Tips by TurboTax, we'll explore it's for, how you pay it, and how much you owe.
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