Federal and State (MN) Tax Limits and Rates

Payroll taxes and other tax-related issues are ever changing. To help keep our small business clients up-to-date and informed, we have provided below a reference sheet for the specific state (MN) and federal tax limits and rates for the years 2011 and 2012.

Description

2012

2013

Minimum Wage
    Federal

US Dept of Labor

US Dept of Labor

    Minnesota

MN Dept of Labor

MN Dept of Labor

FICA (Social Security)
    Max Taxable Earnings

$110,100

$113,700

    Employee/Employer %

4.2%/6.2%

6.2%/6.2%

    Max Deduction

$6,826.20

$7,049.40*

*Addition 0.9% for individuals earning over $200,000
Medicare
    Max Taxable Earnings

No Max

No Max

    Employee/Employer%

1.45%

1.45%

    Max Deduction

No Max

No Max

FUTA
    Max Taxable Earnings

$7,000

$7,000

    % of Taxable Earnings

6.0%

6.0%

    Max Credit

5.4%

5.4%

    Normal Net Tax

0.6%

0.6%

Unemployment Insurance
    MN Taxable Wage Base

$28,000

$29,000

    Employee Deduction

None

None

Supplemental/Bonus Rate
    Federal Flat Rate

25%

25%

    MN Flat

6.25%

6.25%

Standard Mileage Rate
    Rate

$.555/mile

$.565/mile
Deferrals
    Max 401(k)/403(b) Elective

$17,000

$17,500

    Catch-Up Contributions (50+)

$5,500

$5,500

    Max HSA Contribution-Single

$3,100

$3,250

    Max HSA Contribution-Family

$6,250

$6,450

    SIMPLE Employee Plan

$11,500

$12,000

    SIMPLE Catch-Up Contribution (50+)

$2,500

$2,500

 

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