November 1, 2013 11:31 am

Social Security Wage Base Increased for 2014

The Social Security Administration announced the 2014 wage base used for figuring the Social Security tax portion of FICA and self-employment tax. For 2014, this wage base is $117,000, up from $113,700 in 2013. This increase is consistent with a 1.5% increase in Social Security benefits paid in 2014.

There are no changes in the ages for retirement: full retirement for those born in 1943 through 1954 remains at 66 years; early retirement can begin at age 62. The amount that those under the full retirement age can earn without any loss of benefits in 2014 is $1,290 per month, up from $1,260 per month in 2013. Once this income threshold is exceeded, they lose $1 for each $2 above the earnings limit.

Source: Social Security Fact Sheet 10-31-13

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Tax Glossary

Real property

Land and the buildings on land. Buildings are depreciable.

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