Bill Seeks to Remove Social Security Tax Cap for High Earners!

Two lawmakers, Senator Mazie Hirono (D-HI) and Representative Jill Tokuda (D-HI), have reintroduced the Protecting and Preserving Social Security Act. It would affect how payroll taxes apply to people with high incomes. Currently, Social Security taxes are applied to wages and self-employment income up to a certain annual limit ($176,100 in 2025). Earnings above this contribution and benefit base aren’t subject to Social Security tax. The bill would make earners above this threshold pay more for Social Security after 2025. If the bill became law, the cap would be eliminated for people who become eligible for Social Security after a certain date.