Federal Tax and Reimbursement Rates

Social Security Tax 

Medicare Tax

The Medicare tax rate will remain at 1.45%; there is no wage base limitfor Medicare tax. The 0.9% Additional Medicare Tax will be withheld from the wages of those earning more than $200,000 in a calendar year.

Mileage Reimbursement

Effective January 1, 2018, the standard mileage rates for the costs of operating a car for business purposes are:

  • 54.5 cents per mile per business miles driven (an increase of 1 cent from 2017)
  • 18 cents per mile driven for moving expenses (an increase of 1 cent from 2017)