Medicare Tax Calculator
Estimate your Medicare tax liability for the 2025 tax year, including the Additional Medicare Tax if applicable.
Calculate Medicare Tax
What is Medicare Tax?
Medicare tax is part of FICA (Federal Insurance Contributions Act) taxes and funds the Medicare hospital insurance program (Part A). Unlike Social Security tax, there is no income limit on Medicare tax — all of your earned income is subject to it. This tax ensures that Americans have access to healthcare coverage when they reach age 65.
Medicare Tax Rates for 2025
The Medicare tax has two components: a standard rate that applies to all earners, and an additional surtax for high-income individuals introduced by the Affordable Care Act.
2025 Medicare Tax Rates
| Component | Rate | Applies To |
|---|---|---|
| Employee Share | 1.45% | All wages (no cap) |
| Employer Share | 1.45% | All wages (no cap) |
| Additional Medicare Tax | +0.9% | Employee only, above threshold |
| Self-Employed | 2.9% | All net earnings |
Additional Medicare Tax Thresholds
The additional 0.9% Medicare surtax applies to earnings above these thresholds, based on your filing status:
| Filing Status | Threshold |
|---|---|
| Single | $200,000 |
| Married Filing Jointly | $250,000 |
| Married Filing Separately | $125,000 |
| Head of Household | $200,000 |
Frequently Asked Questions
What is the Medicare tax rate?
The standard Medicare tax rate is 1.45% for employees, matched by the employer (2.9% total). Self-employed individuals pay the full 2.9%. High earners pay an additional 0.9% surtax above the income thresholds.
What is the Additional Medicare Tax?
The Additional Medicare Tax is a 0.9% surtax that applies to individual earnings above $200,000 (Single) or $250,000 (Married Filing Jointly). It is paid only by the employee — employers do not match this portion.
Is there an income cap on Medicare tax?
No. Unlike Social Security tax (which has a wage base limit), Medicare tax applies to all earned income with no upper limit. The more you earn, the more you pay in Medicare taxes.