Employee's RatesMatching Rates Paid by the EmployerSelf-Employed Rates.

• 7.65% on the first $118,500 of income
• 1.45% on income above $118,500

• 7.65% on the first $118,500 paid in wages
• 1.45% on wages above $118,500

• 13.3% on the first $118,500 of net earnings
• 2.9% on earnings above $118,500

FICA taxes include Social Security and Medicare. The Social Security tax applies to the first $118,500 of income, while the Medicare tax applies to all income.

Suppose Malcolm has $87,800 of income from work and is self-employed. How much will Malcolm have to pay in FICA taxes?