--- title: 2024 Payroll Tax Rates & Limits description: The payroll tax rates and contribution limits for 2024 have been released, and there are lots of changes. Click through to see exactly what is changing so you can make plans for the coming months. image: https://blog.ahola.com/hubfs/Untitled%20design%20(33).png --- Start typing and press Enter to search * * # 2024 Payroll Tax Rates & Limits [Home](https://www.ahola.com/) » [News & Events](https://blog.ahola.com/2024-payroll-tax-rates-limits) » 2024 Payroll Tax Rates & Limits [2024-01-26%2020:52:51](2024-01-26%2020:52:51) ![](https://blog.ahola.com/hubfs/Untitled%20design%20(33).png) ## 2024 Payroll Tax Rates & Limits By [ Ahola Corporation ](https://blog.ahola.com/author/ahola-corporation)  Posted [ January 26, 2024](2024-01-26%2020:52:51)  In  [Payroll](https://blog.ahola.com/tag/payroll), [Benefits](https://blog.ahola.com/tag/benefits), [Human Resources](https://blog.ahola.com/tag/human-resources), [News Release](https://blog.ahola.com/tag/news-release), [Tax Compliance](https://blog.ahola.com/tag/tax-compliance), [Employees](https://blog.ahola.com/tag/employees), [Hiring](https://blog.ahola.com/tag/hiring) - - - - - The payroll tax rates and contribution limits for 2024 have been released, and there are lots of changes. Read more to see exactly what is changing so you can make plans for the coming months. Below are federal payroll tax rates and benefits contribution limits for 2024. **Social Security tax** In 2024, the Social Security tax rate is **6.2%** for employers and employees, unchanged from 2023. The Social Security wage base is **$168,600** for employers and employees, increasing from $160,200 in 2023. Self-employed people must pay 12.4% on the first $168,600. **Medicare tax** In 2024, the Medicare tax rate for employers and employees is **1.45%** of all wages, unchanged from 2023. Self-employed people must pay 2.9% on all net earnings. **Additional Medicare tax** In 2024, the additional Medicare tax remains unchanged at **0.9%**. This tax applies to wages and self-employment income over [certain thresholds](https://www.irs.gov/businesses/small-businesses-self-employed/questions-and-answers-for-the-additional-medicare-tax) ($200,000 for single filers and $250,000 for joint filers). **401(k) limits** In 2024, the maximum contributions to traditional and safe harbor plans are as follows: - Employee (age 49 or younger): **$23,000**, up from $22,500 in 2023. - Employee catch-up (age 50 or older): **$7,500**, unchanged from 2023. - Employee and employer (age 49 or younger): **$69,000**, up from $66,000 in 2023. - Employee and employer (age 50 or older): **$76,500**, up from $73,500 in 2023. Employees can contribute up to **$16,000** to a SIMPLE 401(k) plan, up from $15,500 in 2023. **Health savings account and high-deductible health plan limits** In 2024, the maximum contributions to an HSA are as follows: - Employer and employee: **$4,150 (self only)** and** $8,300 (family)**. - Catch-up amount (age 55 or older): **$1,000**. In 2024, the limits for an HDHP are as follows: - Minimum deductibles: **$1,600 (self only)** and** $3,200 (family)**. - Maximum out-of-pocket amounts: **$8,050 (self only)** and** $16,100 (family)**. **Flexible spending account limits** In 2024, employees can contribute: - Up to **$3,200** to a health care FSA, increasing from $3,050 in 2023. - Up to **$5,000** to a dependent care FSA if filing single or jointly and up to **$2,500** if married but filing separately. **Qualified Small Employer Health Reimbursement Arrangement limits** In 2024, employers with a QSEHRA can reimburse employees for health care expenses as follows: - **$6,150 (self only)**, up from $5,850 in 2023. - **$12,450 (family)**, up from $11,800 in 2023. **Commuter benefits limit** In 2024, employees can contribute up to **$315 per month** for qualified commuter benefits (e.g., mass transit and parking), up from $300 per month in 2023. This limit includes any employer contributions. **Adoption assistance exclusion limit** In 2024, up to **$16,810** in employer-sponsored adoption assistance may be excluded from an employee's gross wages, increasing from $15,950 in 2023. Remember, these are all federal rates and limits. Be sure to check with the necessary agencies for state and local rates. Note that this is a summary of some very complex provisions. Don't make any assumptions about your situation until you've spoken with a qualified tax professional.   Looking for Payroll and Tax Filing Services? 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