What Is the Additional Medicare Tax?
Every paycheck already has 1.45% withheld for Medicare, matched by your employer. Once earnings climb high enough, an extra 0.9% kicks in — the Additional Medicare Tax. It applies to wages and self-employment income combined above $200,000 for single filers or $250,000 for joint filers. Unlike regular Medicare tax, there's no employer match on this piece; it's yours alone.
Why a Side Job Can Trigger It
Your employer only watches wages from that one job, so they won't withhold extra even if you're close to the threshold. Add freelance income on top, and your combined earnings can cross the line without extra withholding, leaving a surprise bill. This calculator adds your wages and side income and estimates what you'll owe.
Frequently Asked Questions
An extra 0.9% on wages and self-employment income above $200,000 single or $250,000 joint, with no employer match.
Employers only track their own wages, so combined income from a side job can cross the threshold without any extra withholding.
Not exactly — employer withholding kicks in per job at $200,000, but your actual liability is based on combined income and filing status.
※ Estimate only, based on current federal thresholds. Consult a tax professional to confirm your actual liability.