USA | dogg4585 - 1/5/2025 08:56
I didn't know that, thought the max was for both so I learned something today. Entities can be structured to avoid paying either. You also won't receive any SS if you use this strategy.
Using round numbers lets say couple has $1 million earned income. Would pay $35,750 a year in Medicare tax. Now when that couple is on Medicare they continue to have earned income of $1 million they would pay $35750 year Medicare tax plus $628.90 x2 x12= $15093 Medicare premium = $50,843 year.
Every $1 million in additional income requires another $38,000 Medicare tax.
https://www.cms.gov/newsroom/fact-sheets/2025-medicare-parts-b-premi...
When it comes to SS benefits. . The income limit is only $44.000 to to pay income tax on 85% of SS benefits.
https://www-origin.ssa.gov/benefits/retirement/planner/taxes.html
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tax spending to save soc. sec?
