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The 'payroll' tax applies at a hard percentage of one's working income - no brackets. With regard to employee, you won't 6.2% of your working income for Social Security (only up to $106,800 income) and 4.45% of it for Medicare (no limit). Together they take additional 7.65% of your income. There's no tax threshold (or tax free) level of income in this system.

Copyright 2010 by RioneX IP Group LLC. All rights lined up. This material may be freely copied and distributed subject to inclusion in the copyright notice, author information and all the hyperlinks are kept unchanged.

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