RubinBrown Payroll Tax Guide, 2025

PAYROLL TAX GUIDE current as of January 202 5

202 5

Qualified Retirement Plans

Health Savings Accounts (HSAs) Annual Contribution Limits 202 5

202 5

202 4

202 4

Individual

$ $ $

4, 300 $ 8, 550 $ 1,000 $

4,150 8,300 1,000

Maximum elective deferral to retirement plans [e.g., 401(k), 403(b)]

23, 5 00 $

2 3 , 0 00

$

Family

Maximum elective deferral to SIMPLE IRAs

16, 5 00 $

1 6 , 0 00

$

Catch-up Contributions

Employers must report contributions to an employee’s HSA on Form W-2, Box 12, Code W

Maximum elective deferral to 457 plans of exempt employers

23, 5 00 $

2 3 , 0 00

$

Limit on annual additions to defined contribution plans Minimum mandatory SEP plan participation

70 ,000 $

6 9 ,000

$

Dependent Care Benefits

750 $

750

$

202 5

202 4

Maximum annual compensation taken into account for contributions

3 50 ,000 $

3 45 ,000

$

Married

$ $

5, 0 00 $ 2,500 $

5,000 2,500

Married Filing Separately

Annual benefit limit under defined benefit plans

2 80 ,000 $

2 7 5,000

$

Catch-up Contribution Limits 401(k), 403(b), SEP and 457 plans

202 5

202 4

$ $

7,500 $ 3,500 $

7,500 3,500

Group-Term Life Insurance Exceeding $50,000 Paid by Employer 5-Year Age Bracket

SIMPLE IRAs

Monthly Cost/$1,000 of Coverage

Under 25 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 to 64 65 to 69

$ $ $ $ $ $ $ $ $ $ $

0.05 0.06 0.08 0.09 0.10 0.15 0.23 0.43 0.66 1.27 2.06

Social Security & Medicare Tax 202 5

202 4

OASDI

HI

OASDI

HI

Maximum taxable wages/income

$ 1 76 , 1 00 No Limit $ 16 8 , 6 00 No Limit

Tax Rate Employer

6.2% 1.45%*

6.2% 1.45%*

1.45%† 2.35%†

1.45%† 2.35%†

Employee (<$200,000) Employee (>$200,000) Self-Employ (<$200,000) Self-Employ (>$200,000)

6.2%

6.2%

2.9% 3.8%

2.9% 3.8%

12.4%

12.4%

70 and above

OASDI = Old Age, Survivors and Disability Insurance HI = Medicare Hospital Insurance

Tax-Free Commuting Benefits Per Month 202 5

* The employer HI rate is 1.45% on all wages. † The 202 4 -2 5 employee HI rate is 1.45% on all wages plus an additional 0.9% on wages over $200,000.

202 4

Employee Parking

$ $

3 2 5 $ 3 2 5 $

3 15 3 15

Transit Passes/Van Pools

202 5 Federal Unemployment Tax Wage Limit Rate

Max. Credit Deposit Rate

Standard Mileage Rates

$

7,000

6.00%

5.40%

0.60%

202 5

202 4

Business

70 . 0 ¢ 14 . 0 ¢ 21 . 0 ¢

67 . 0 ¢ 14.0¢ 2 1 .0¢

Charitable

Supplemental Wages Withholding Federal Withholding 202 5

Medical

202 4

Less than $1,000,000

22.0% 37.0%

22.0% 37.0%

Over $1,000,000