Payroll Tax Reference
Payroll tax reference for payroll study.
A practical starting point for federal payroll tax study. Use it for orientation, then verify current requirements with IRS, SSA, DOL, and state sources.
Current-year caution: Payroll figures change. This page includes selected 2026 federal references verified against IRS Publication 15 and SSA data, but employers and candidates should always check current official sources before relying on a figure.
Selected 2026 federal payroll tax reference points
| Topic | 2026 reference point | Primary source |
|---|---|---|
| Social Security tax | 6.2% employee and 6.2% employer on wages up to the Social Security wage base. | IRS Publication 15; SSA contribution and benefit base |
| Social Security wage base | $184,500 for 2026. | IRS Publication 15; SSA contribution and benefit base |
| Medicare tax | 1.45% employee and 1.45% employer. No regular Medicare wage base limit. | IRS Publication 15 |
| Additional Medicare Tax | Employers withhold 0.9% after paying wages over the federal employer withholding threshold. | IRS Publication 15 |
| Federal income tax withholding | Calculated using Form W-4 information and IRS withholding methods. | IRS Publication 15-T |
Common payroll tax study areas
- Federal income tax withholding and Form W-4.
- Social Security and Medicare taxes.
- Additional Medicare Tax withholding.
- FUTA and state unemployment concepts.
- Deposit schedules and employment tax returns.
- Taxable fringe benefits and supplemental wages. Try the supplemental wage and bonus tax calculator.
- Garnishment limits and disposable earnings.
How to use this page for FPC or CPP prep
For FPC, focus first on vocabulary, forms, basic tax concepts, and gross-to-net logic. For CPP, go deeper into scenarios: wage-base consequences, deposit timing, taxable benefit treatment, adjustments, reconciliations, and control issues.
Practice with current-source habits
PrepToPay includes payroll references, practice tests, flashcards, explanations, and an AI payroll assistant so you can study concepts and source-check important figures.
Primary sources: IRS Publication 15 (2026), IRS Publication 15-T (2026), SSA contribution and benefit base. This page is for study support, not legal or tax advice.