Once the employee's income reaches the limit placed on Social Security tax, the amount deducted is reduced based on the number of exemptions claimed.

Question

Quizplus · Accepted Answer

This statement is false. There is no reduction in the amount of Social Security tax deducted once an employee's income reaches the taxable limit. The tax is calculated at a fixed rate of 6.2% on all income up to the limit, and there are no exemptions or reductions available once that limit is reached.

Once the Employee's Income Reaches the Limit Placed on Social