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Social Security Wage Base Increases to $117,000 in 2014

by | Oct 31, 2013 | Tax and Accounting Desk

The Social Security Administration (SSA) announced on Wednesday, October 30, 2013, that the 2014 social security wage base will be $117,000, an increase of $3,300 from the 2013 wage base of $113,700.

As in prior years, there is no limit to the wages subject to the Medicare tax; therefore, all covered wages are still subject to the 1.45% tax. As in 2013, wages paid in excess of $200,000 in 2014 will be subject to an extra 0.9% Medicare tax that will only be withheld from employees’ wages. Employers will not pay the extra tax.

The SSA has created a fact sheet detailing changes from 2013 to 2014.

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