Posts Tagged ‘Payroll Taxes’

Law Increases 401K Annual Limits

Icon Written by Administrator on May 13, 2009 – 9:59 am

On August 7, 2008, the Governor of Puerto Rico signed into law Act 186, which increases the pre-tax contribution limits for Section 1165(e) savings plans. Under prior law, pre-tax contributions were limited to the lesser of 10 percent of compensation or $8,000 per year. The new law removes immediately the 10 percent cap, so that the limit for 2008 plan years is $8,000 regardless of compensation. It also increased the annual limits for plan years beginning in 2009 and thereafter as follows:

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What is FICA?*

Icon Written by Administrator on April 29, 2009 – 9:37 pm

The Federal Insurance Contributions Act (FICA) tax (pronounced /ˈfаɪkə/) is a United States payroll (or employment) tax imposed by the federal government on both employees and employers to fund Social Security and Medicare —federal programs that provide benefits for retirees, the disabled, and children of deceased workers. Social Security benefits include old-age, survivors, and disability […]

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Social Security (FICA) Wage Limits and Tax Rates

Icon Written by Administrator on April 29, 2009 – 9:03 pm

While Social Security and Medicare rates have remained the same for the last 12 years, Social Security limit has grown 63% during the same time period.

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