Anyone who works automatically contributes into the Medicare fund through FICA taxes. Employees and employers split the bill down the middle. 12.4% of income is contributed to social security up to $113,700 in earnings for 2013. 2.9% of earnings are contributed towards Medicare with no income limit.
The Affordable Care Act included a provision that increases the contribution made for high income earners. Single earners making more than $200,000 and married couples making more than $250,000 must pay an additional .9% towards Medicare.
Self employed workers pay the entire amount, and need to make quarterly estimated tax payments including these amounts.
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The Affordable Care Act included a provision that increases the contribution made for high income earners. Single earners making more than $200,000 and married couples making more than $250,000 must pay an additional .9% towards Medicare.
Self employed workers pay the entire amount, and need to make quarterly estimated tax payments including these amounts.