The 2018 tax rates have been announced for many of the Federal and State deductions in your paycheck. The 2018 tax rates are as follows:
- The Social Security Tax rate for employees is 6.2 percent through the end of 2018, with maximum taxable earnings of $128,400. (Source: Social Security Administration website.)
- The Medicare Tax rate is 1.45 percent with no maximum wage-base limit. (Please note that as of 2013, wages paid in excess of $200,000 to high-earner employees will be subject to an extra 0.9 percent Medicare Tax that will be withheld from those employees’ wages.)
- The NJ Unemployment and Disability wage limit is increasing to $33,700 (from $33,500 in 2017).
- The NJ Employee Disability rate decreased from .0024 to .0019.
- The NJ Family Leave Act rate decreased from .0010 percent to .0009 percent.
- The PA State Personal Income Tax rate is 3.07 percent.
- The PA State Unemployment Tax rate is .06 percent. Taxable wage limit is $10,000.
- The City of Philadelphia Wage Tax rate is 3.8907 percent for Philadelphia residents.
Additional payroll tax information can be found on the Pulse under Departments/Finance/Payroll.