SECURITY BENEFITS TO INCREASE 2.1% IN 2004
Social Security benefits will increase 2.1% next year, starting with the payments made in January. The maximum wage base for the combined employer/ee12.4% Social Secuirty tax will increase from $87,000 (in 2003) to $87,900 (in 2004). Wages in excess of this amount will not be subject to the Social Secuirty tax. Thus, the maximum Social Security tax(the combined amount for employer/ee and for a self-employed person) will rise from $10,788.00 (in 2003) to $10,899.60 (in 2004). All wages are subject to the 2.9% Medicare tax.
see: http://www.TaxEsq.com
