Which of the following statements concerning the federal Social Security tax is true?
A) The tax burden increases annually because the rate generally increases annually.
B) The tax burden increases annually because the base generally increases annually.
C) Both the rate and the base generally increase annually.
D) The Social Security tax burden has not increased since 1990.

Question

Quizplus · Accepted Answer

The Social Security tax burden increases annually because the base generally increases annually. As of 2021, the Social Security tax rate has remained the same at 6.2% for employees and employers, but the maximum taxable earnings increased from $137,700 in 2020 to $142,800 in 2021.

Which of the Following Statements Concerning the Federal Social Security