2027 Social Security wage base: $192,300
The maximum amount of earnings subject to Social Security tax in 2027, how the figure is calculated, and what it does and does not change.
$192,300 — up from $184,500 in 2026. That is a $7,800 increase, or 4.2%. The maximum employee Social Security tax rises from $11,439.00 to $11,922.60.
Verified 2026-11-07 · SSA 2027 COLA fact sheet
2026 and 2027 side by side
| Item | 2026 | 2027 | Change |
|---|---|---|---|
| Taxable maximum (wage base) | $184,500 | $192,300 | +$7,800 |
| Employee rate | 6.2% | 6.2% | unchanged |
| Maximum employee tax | $11,439.00 | $11,922.60 | +$483.60 |
| Maximum employer tax | $11,439.00 | $11,922.60 | +$483.60 |
| Self-employed rate | 12.4% | 12.4% | unchanged |
| Maximum self-employed tax | $22,878.00 | $23,845.20 | +$967.20 |
| Medicare taxable maximum | none | none | unchanged |
Why it rose 4.2% — and how to check the number yourself
The wage base is not voted on each year. Under section 230(b) of the Social Security Act (42 U.S.C. §430), it is the 1994 base of $60,600 multiplied by the growth in the national average wage index since 1992, then rounded to the nearest $300. The index used is the one for the year two years before the tax year.
| Year | Average wage index used | Calculation | Result |
|---|---|---|---|
| 2026 | $69,846.57 (2024) | 60,600 × (69,846.57 / 22,935.42) = 184,553 | $184,500 |
| 2027 | $72,800.33 (2025) | 60,600 × (72,800.33 / 22,935.42) = 192,353 | $192,300 |
Recomputing the published figures: 192,300 for 2027 and 184,500 for 2026 before rounding. Both match the SSA fact sheet.
What counts toward the wage base
| Counts | Does not count |
|---|---|
|
|
Who actually hits $192,300
Only a minority of workers reach the cap. If you do, the effect is visible: Social Security withholding disappears from a paycheck late in the year, while Medicare withholding stays. If you do not, the change in the base has no effect on your 2027 tax at all — your 6.2% applies to every dollar you earn either way.
What the wage base does not change
- The tax rate. 6.2% for employees and employers, 12.4% for the self-employed. Unchanged.
- Medicare. 1.45% with no cap, plus 0.9% above $200,000 ($250,000 joint). Unchanged.
- Your benefit formula. The base limits taxable earnings; it is not a benefit cutoff.
- The earnings test. That is a separate limit, $25,560 in 2027, for people claiming before full retirement age.
Questions
What is the maximum taxable earnings for Social Security in 2027?
It is $192,300. This is the amount of wage and self-employment income subject to the 6.2% Social Security (OASDI) tax in 2027. It rose from $184,500 in 2026.
How much Social Security tax is taken out at the maximum in 2027?
An employee pays $11,922.60 for the year (6.2% of $192,300). The employer pays the same amount. A self-employed person pays $23,845.20 (12.4%).
Do I pay Social Security tax on income above the wage base?
No. Earnings above $192,300 are not subject to Social Security tax in 2027, and they do not increase your Social Security benefit. Medicare tax, however, applies to all earnings with no cap.
Why did the wage base increase by 4.2%?
The base is set by a formula, not by Congress each year. It equals the 1994 base of $60,600 multiplied by the growth in the national average wage index since 1992. Average wages rose 4.23% in 2025, which produces $192,300 after rounding to the nearest $300.
When does the 2027 wage base take effect?
For wages paid in calendar year 2027, starting with the first paycheck of January 2027. Employers update payroll systems for the January pay run.
Is the wage base the same as the earnings test limit?
No. The wage base ($192,300) limits the earnings subject to Social Security tax. The earnings test limit ($25,560 in 2027) limits how much a person under full retirement age can earn while receiving benefits. They are unrelated numbers.