Social Security gets the majority of its revenue from payroll taxes. But it’s not a given that you’ll pay Social Security taxes on all of your income.
Each year, the Social Security Administration (SSA) announces a wage cap that determines how much earnings are taxed to fund the program. This year’s wage cap is $176,100, which means someone earning that exact amount and someone earning $500,000 are going to pay the same amount into Social Security in 2025.
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