# Ssi taxes



## Mike in CT (Nov 8, 2015)

Just curious, with social security since i would be getting a 1099 if this was my only source of income i would be paying double ssi as if i had a pass through company like an llc or i would only pay one rate being a sole proprietor?


----------



## UberTaxPro (Oct 3, 2014)

Mike in CT said:


> Just curious, with social security since i would be getting a 1099 if this was my only source of income i would be paying double ssi as if i had a pass through company like an llc or i would only pay one rate being a sole proprietor?


When you're self employed you pay both parts of fica tax (employer and employee). You do get a deduction. You can deduct the employer-equivalent portion of your self-employment tax in figuring your adjusted gross income. This deduction only affects your income tax. It does not affect either your net earnings from self-employment or your self-employment tax.
The self-employed person's FICA tax rate for 2015 is 15.3% on the first $118,500 of net income and then 2.9% on the net income that is in excess of $118,500.

The self-employed person's FICA tax rate for 2015 consists of the following:

the employee's portion of the Social Security tax, which is 6.2% of the first $118,500 of net income
the employer's portion of the Social Security tax, which is 6.2% of the first $118,500 of net income
the employee's portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)
the employer's portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)


----------



## Mike in CT (Nov 8, 2015)

Thanks very much!
Much appreciated!


----------

