Update 1:

• I made the following notes while reading https://www.kiplinger.com/taxes/social-security-tax-limit-jumps-for-2025 but afterwards, I found
• https://www.ssa.gov/news/press/factsheets/colafacts2025.pdf and
• https://www.ssa.gov/news/press/factsheets/colafacts2024.pdf

which are more comprehensive and less wordy. It is better to go with https://www.ssa.gov/news/press/factsheets/colafacts2025.pdf than my notes here.

Notes from https://www.kiplinger.com/taxes/social-security-tax-limit-jumps-for-2025

• The SSA sets two things every year - COLA, tax limit
• This tax limit is also known as “wage cap”. It is the amount of income subject to Social Security payroll tax.

• year	COLA	tax limit
  2024	3.2	\$168,600
  2025	2.5	\$176,100

• name	employer contribution	employee contribution	total	subjected to income cap
  Social Security tax rate	6.2%	6.2%	12.4%	Yes
  Medicate tax rate	1.45%	1.45%	2.9%	No