Crucially, this need not be, and should not be, a matter of raising taxes in the aggregate. The proceeds from a gasoline tax ought to be used to finance cuts in other taxesâthis, surely, is the way to present them to a sceptical electorate.
Social Security and Medicare Withholding Rates. The current tax rate for social security is 6.2% for the employer and 6.2% for the employee, or 12.4% total. The current rate for Medicare is 1.45% for the employer and 1.45% for the employee, or 2.9% total.
The FICA Tax Withholding Rates: The Social Security (OASDI) withholding rate is gross pay times 6.2 percent up to the maximum pay level for that year; The Medicare withholding rate is gross pay times 1.45 percent, with a possible additional 0.9 percent for highly-paid employees. For a total of 7.65 percent withheld, based on the employee's gross pay.