The amount of taxes taken out of paychecks typically includes federal income tax, Social Security tax, Medicare tax, and possibly state and local taxes. Here's a breakdown:

Federal Taxes

• Federal Income Tax: Withheld based on your income level and the information you provide on your W-4 form. Rates range from 10% to 37% depending on your income bracket

• Social Security Tax: 6.2% of your wages up to a wage base limit ($160,200 in 2023, slightly increasing each year)

• Medicare Tax: 1.45% on all wages, with no wage limit. An additional 0.9% Medicare tax applies to income above certain thresholds

State and Local Taxes

• Many states also withhold income tax, with rates varying widely. Some states have no income tax at all

• State Unemployment Insurance (SUI) taxes may also be withheld in some states, with rates and wage bases varying by state

Example of Payroll Tax Rates

• Total payroll taxes (Social Security + Medicare) typically total 7.65% withheld from your paycheck

• Federal income tax withholding depends on your filing status, income, and allowances claimed on your W-4

Summary

• On a typical paycheck, expect about 7.65% withheld for Social Security and Medicare.
• Federal income tax withholding varies from 10% to 37% based on income.
• State and local taxes vary by location.
• Other deductions (health insurance, retirement plans) may also reduce your take-home pay.

To know exactly how much tax is taken out of your paycheck, you can use paycheck calculators that factor in federal, state, and local taxes along with your personal withholding information

. In the UK, tax rates differ, with income tax rates ranging from 20% to 48% depending on income and region (England, Scotland, Wales)

. Thus, the total tax withheld from paychecks depends on your income, location, and personal tax situation. Federal payroll taxes alone typically total 7.65%, with additional income taxes on top of that.