HR Glossary

What is Social Security Tax?

A 6.2% payroll tax paid by both employers and employees on wages up to an annual cap ($168,600 in 2024), funding retirement, disability, and survivor benefits through the Social Security program.

Why it matters in hiring

Social Security Tax comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with S

• SkillsFuture Credit (Singapore)
• SMART Goals
• Social Learning
• Social Recruiting
• Soft Skills Training
• Solid Performer
• Solidarity Surcharge (Germany)
• Source of Hire

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.