On February 17, 2012, Congress approved the Payroll Tax Cut Extension. This legislation will extend the current 4.2% Social Security Old-Age, Survivors, and Disability Insurance (OASDI) tax rate for employees for the rest of 2012.
Employers will continue to pay Social Security tax of 6.2% up to the taxable wage limit for each worker ($110,100.00 for 2012), as well as the 1.45% Medicare tax, with no limit.