The Social Security taxable earnings limit will rise to $192,300 in 2027, up from $184,500 in 2026, because it is adjusted for inflation. Workers who exceed the limit next year would pay $483.60 in additional Social Security tax, and their employer would pay the same amount. The article notes that only about 6% of workers exceed the limit in a given year, and fewer than 20% ever do during their careers. Medicare tax has no earnings cap, and higher covered earnings can also mean a larger retirement benefit later.
Summary written by Upside AI from the original article. Read the source for full details.
Original headline: Social Security Taxable Earnings Limit Is Rising to $192 , 300 in 2027 . Here Who Pays More .
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