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%.
Paying Social Security and Medicare taxes If you work for an employer, you and your employer each pay a 6.2 percent Social Security tax on up to $128,400 of your earnings and a 1.45 percent Medicare tax on all earnings. If youâre self-employed, you pay the combined employee and employer amount, which is a 12.4 percent Social Security tax on up to $128,400 of your net earnings and a 2.9 percent Medicare tax on your entire net earnings.