Social Security wage base 2026

FICA stands for Federal Insurance Contributions Act — and it is the reason your first paycheck is smaller than your hourly rate times hours worked. This plain-English guide explains what FICA is, why 7.65% comes out of every check, what Social Security and Medicare actually fund, whether you ever get it back, and how FICA differs from federal income tax. Includes a pay stub decoder for OASDI, MED, and HI labels.