by UHY LLP
The Social Security Administration (SSA) increased the maximum amount of wages subject to Social Security tax to $132,900 for 2019 which is an increase of $4,500 from the 2018 amount of $128,400. Employees with wages of $132,900 or greater would pay in a maximum of $8,239.80 in 2019 and the employer would pay an equal amount.
The SSA also announced a cost-of-living adjustment of 2.8 percent for recipients of Social Security benefits. In addition the annual earnings which can be earned before a recipients benefits are reduced is $17,640 before full retirement age and $46,920 once full retirement age is reached.
This blog was originally posted by UHY LLP.