Social Security and Medicare
Social Security deductions are coordinated with retirement deductions. The Medicare tax is mandatory whether or not you contribute to Social Security. Contributions will enable you to qualify for Medicare benefits upon attainment of age 65. For further information on Social Security, access the Social Security web page at http://www.ssa.gov/
As a member of CalPERS, employees also participate in Social Security (with the exception of unit 8 employees who contribute $2.00 under the 1959 Survivor benefit).
- Social Security and Medicare taxes are withheld from your paycheck.
- Withholding rates are 6.20 percent for Social Security and 1.45 percent for Medicare.
- Social Security maximum taxable earnings is adjusted annually. You can view the Contribution and Benefits Base at the following link: http://www.ssa.gov/OACT/COLA/cbb.html
- There is no limit for Medicare.