Pennsylvania employers

04 Nov Pennsylvania employers

Pennsylvania employers are required to withhold federal income tax, Medicare tax and Social Security tax from employee wages. The employer withholds federal income tax according to the employee’s Form W 4 data, such as filing status, allowances and any additional taxes to be withheld, and the IRS Circular E’s withholding tax tables relevant to the employee’s pay period, filing status, allowances and wages. The employer calculates Social Security tax at 4.2 percent of the employee’s gross income, up to $106,800 for the year, and Medicare tax at 1.45 percent of all gross income..

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