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The 'payroll' tax applies at a hard percentage of your working income - no brackets. A great employee, pay out 6.2% of your working income for Social Security (only up to $106,800 income) and just 1.45% of it for Medicare (no limit). Together they take additional 7.65% of your income. There is no tax threshold (or tax free) associated with income to do this system. 2) An individual been participating within your company's retirement plan? If not, why not?
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