FICA tax base:
A)Never changes
B)Changes yearly
C)Changes once every two years
D)Is never more than $60,000
E)None of these

Question

Quizplus · Accepted Answer

The FICA tax base, which includes both Social Security and Medicare taxes, typically changes from year to year based on inflation and other factors. For example, in 2021, the Social Security tax applies to the first $142,800 of earnings, while the Medicare tax applies to all earnings with no cap.

FICA Tax Base