Payroll Tax
TaxesTaxes withheld from employee wages to fund Social Security, Medicare, and unemployment insurance programs.
Example
Example: On a $75,000 salary, understanding payroll tax could save you hundreds or thousands at tax time. For instance, if you are in the 22% marginal bracket, knowing how payroll tax works helps you make smarter decisions about deductions, credits, and withholding. Check your tax picture with our income tax calculator.