The Christmas Cove Dyke of coastal Maine, USA, and regional sources ... by McHone, J. Gregory; Hussey, Arthur M., II; West, David P., Jr.; Bailey, David G. / Atlantic Geology.
Social security and Medicare taxes have different rates and only the social security tax has a wage base limit. The wage base limit is the maximum wage subject to the tax for the year. Determine the amount of withholding for social security and Medicare taxes by multiplying each payment by the employee tax rate. There are no withholding allowances for social security and Medicare taxes.
Interest and Dividends. Interest and dividends are forms of passive income that are not subject to Social Security tax. Interest and dividends you receive during the year -- unless earned in a special tax-deferred account such as an IRA -- are subject to federal income taxes. portion of Social Security benefits may be subject to income taxes, depending on your annual income. If Social Security benefits are your only income source, however, you don't pay any taxes on your benefits.