Dependency status on the FAFSA is different than dependency status on federal income tax returns. It doesnât matter whether or not your parents claim you as a dependent (exemption) on their federal income tax return. Being a dependent on a tax return doesnât affect your dependency status on the FAFSA. The opposite is also true. Being a dependent on the FAFSA doesnât affect your dependency status on your parentsâ tax return.
Ultimate guide to retirement. Medicare is funded by the Social Security Administration. Which means it's funded by taxpayers: We all pay 1.45% of our earnings into FICA - Federal Insurance Contributions Act, if you're into deciphering acronyms - which go toward Medicare. Employers pay another 1.45%, bringing the total to 2.9%.
Social Security Rates. The Federal Insurance Contributions Act (FICA) is made up of two items, Social Security and Medicare taxes. For 2017, the Social Security tax rate is 6.2% on the first $127,200 wages paid. The Medicare tax rate is 1.45% on the first $200,000 and 2.35% above $200,000. General Information.