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 Social Security tax rate paid by employees was only 4.2 percent in 2011 and 2012. Employers still paid the full 6.2 percent rate, but employees caught a temporary break. The combined Social Security tax rate for employers and employees was only 10.4 percent during those years.