2013 Social Security Taxes (From 4.2% to 6.2%, Effective January 1, 2013)

January 3, 2013

 

To:       All RCUH Employees

           

2013 Social Security Taxes (From 4.2% to 6.2%, Effective January 1, 2013)

 

The Middle Class Tax Relief and Job Creations Act of 2012 which reduced the employee’s portion of the Social Security payroll tax from 6.2% to 4.2% expired on Monday, December 31, 2012.

 

Because the restoration of the 6.2% Social Security payroll tax is effective on the first wages paid in 2013, the 6.2% rate will be reflected on your January 7th pay check. 

 

Another change for 2013 is the additional 0.9% Medicare payroll tax on wages paid in excess of $200,000 within the tax year.  This additional 0.9% will be withheld from the employee’s wages only.

 

New income tax withholding rates for 2013 are yet to be announced.  We will let you know when new withholding rates will take into effect so that you will have a chance to review your tax withholding status.

 

Should you have any inquiries, please contact RCUH Payroll at [email protected].