If I am drawing SS and working, do I have to pay federal tax on FICA withheld from my pay check?

[xmasbaby0]

No matter what your age is, if you are working you will still have to have tax withheld for Social Security and Medicare --  even if you are receiving Social Security benefits.

People get very confused about this.   If you are not yet at full retirement age, then your SS benefits can be reduced if you continue to work and earn above a certain amount.  For 2025, that amount is $23,400.   If you are at or past full retirement age, your benefits are not reduced by your earnings, but you will still always have to pay in to Social Security and Medicare if you are working.

[at-rogers135]

That’s not my question. Simply stated, do I or anyone have to pay tax on the FICA withheld?

[VolvoGirl]

I think the answer is yes, sorry.  Nothing changes for that.  You always pay tax on the gross amount in box 1 of the W2.  Box 1 includes the SS wages and Medicare wages in boxes 3&5.  

And part of your Social Security benefits might be taxable too.   Up to 85% of Social Security becomes taxable when all your other income plus 1/2 your social security, reaches:

Married Filing Jointly: $32,000

Single or head of household: $25,000

Married Filing Separately: 0

[xmasbaby0]

Your question is odd---you seem to be asking if you pay tax on tax that was withheld.   Your gross pay is in box 1 of your W-2.   Box 2 of your W-2 shows how much you received after taxes were withheld.   Boxes 3 - 6 show the Social Security and Medicare that were withheld from the income you received.

Perhaps it would help if you read what each box on your W-2 means:

https://turbotax.intuit.com/tax-tips/irs-tax-forms/what-is-a-w-2-form/L6VJbqWl5

[at-rogers135]

Ok Thank you! 
Thats what I figured and really do now understand why people are upset over that and then parying tax again on my SS check.  

[at-rogers135]

Thank you! 

[xmasbaby0]

Social Security benefits have been taxable since the early 1980's.  

If Social Security is your ONLY income you do not have to file a tax return.   But if you have other income along with the SS benefits, then up to 85% of your SS may be taxable income depending on the amount of the other income.

You need to file a federal return if half your Social Security plus your other income is

Single or Head of Household      $25,000

Married Filing Jointly                  $32,000

Married Filing Separately            $0

[VolvoGirl]

And the FICA  "withholding" in boxes 4 & 6 is actually a mandatory tax, not the same kind of withholding as in box 2.  

Why SS is taxable.   Best explanation I read from Hal_AL…….
When you were working, you only paid half of your SS tax. Your employer paid the other half. At first SS benefits were tax free; then Congress decided to tax 50% of it. You know; the half your employer paid for. But all those rich retirees were still getting half that money tax free, so they settled (for now) on taxing 85% of it. Then they ran for re-election on the 15% they "saved" you.