To fund mandatory spending for Medicare and Social Security, what type of tax is withheld from payroll?

Now is the time to find out what taxes are withheld 

From payrolls to fund mandatory government spending

Known as the Federal Insurance Contributions Act (FICA), 

it was enacted in 1935 and mandates a payroll tax on employees' paychecks. 

A portion of this money is collected for funding Social Security 

and Medicare. From the beginning, the idea was that Working 

People would contribute a certain amount from their paychecks 

throughout their working years to fund these programs. 

As a result, they would be able to enjoy both financial and 

health benefits later in life. In American history, 

it has always been a great idea that has served all workers well.

Self-Employment Contributions Act (SECA), passed in 1954, 

Requires the self-employed to pay taxes from their net earnings to benefit 

Social Security and Medicare. In this case, 

the taxes people pay under FICA and SECA are 

Helping senior citizens right now. 

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