Self-employed workers pay a Social Security tax rate that is twice that paid by employees because contributions of self-employed workers are not matched by an employer.

Question

Quizplus · Accepted Answer

This is true. Self-employed workers are responsible for paying both the employer and employee portions of the Social Security tax, which is currently 12.4% of their earnings up to a certain limit. This is double the 6.2% paid by employees whose contributions are matched by their employer.

Self-Employed Workers Pay a Social Security Tax Rate That Is