# FICA

> FICA — Social Security tax — 6.2% of wages up to the year's wage base — and Medicare tax — 1.45% of all wages — each paid twice: withheld from the employee and matched by the employer. 7.65% a side below the wage base.

Source: https://lopifi.com/glossary/fica
Part of: Lopifi — US GAAP books on autopilot, checked by a CPA (https://lopifi.com)

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**What is fica?** In accounting, FICA means social Security tax — 6.2% of wages up to the year's wage base — and Medicare tax — 1.45% of all wages — each paid twice: withheld from the employee and matched by the employer. 7.65% a side below the wage base.

## Also known as

- Federal Insurance Contributions Act tax

## Words this system refuses for it

- payroll tax for every employment tax
- FUTA (employer-only)

- **Category:** Payroll
- **Specified in:** [Lexicon](https://lopifi.com/md/docs/domain/11-lexicon)