State Employees: Social Security Tax Cut Extended Through the End of 2012
Note: This is a follow up to an HR News message posted in January 2012.
To: State Employees
Re: Social Security Employee Tax Rate Reduction Extension through 2012
As recently announced in various news media, the President signed into law on February 22, 2012, the Middle Class Tax Relief and Job Creation Act of 2012 (Tax Relief Act of 2012) (H.R. Bill 3630). The Tax Relief Act of 2012 extends the reduction in the social security tax rate paid by employees beyond February 29, 2012. Your social security tax rate will not increase through the end of 2012. This legislation provides that the Social Security tax rate paid by employees to continue at 4.2% for wages paid through December 31, 2012.
Employers continue to pay the full 6.2% rate for their portion of the social security tax.