Definition from Nolo’s Plain-English Law Dictionary
A portion of the FICA (Federal Insurance Contributions Act) tax that is 12.4% of an individual's net earned income. The employee's share of the Medicare tax is 6.2% of wages up to a certain limit (called the Social Security Wage Base) that increases each year. The employer's share of the Medicare tax is 6.2% of an employee's wages up to that limit.
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:24 pm