(Maximum Social Security tax withheld from wages is $8,853.60 in 2021). For Social Security, the tax rate is 6.20% for both employers and employees.

The wage base increases to $142,800 for Social Security and remains UNLIMITED for Medicare. Following is a summary of the federal 2021 payroll tax changes including Social Security, Medicare, Unemployment Tax, Minimum Wage, 401(k) limits, and more.