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Increased Medicare and Social Security Contributions for High Earners

This bill aims to boost funding for Social Security and Medicare by changing how contributions are calculated. It primarily affects high-income individuals, who will pay more into these programs, ensuring their financial stability. The changes will take effect on January 1 of the first calendar year after the bill's enactment.
Key points
Individuals earning over $400,000 annually will pay Social Security contributions on their entire income, not just up to the current limit.
An additional 1.2% Medicare tax will be introduced for individuals earning over $400,000 (single filers) or $500,000 (joint filers).
Taxes on investment income for very high-income individuals will increase, with a portion of these revenues directed to Social Security and Medicare trust funds.
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Status: Introduced
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Additional Information
Print number: 119_HR_3271
Sponsor: Rep. Boyle, Brendan F. [D-PA-2]
Process start date: 2025-05-08