Chapter 10

Note that since the employee's earnings of $7,000 were well below the $97,500 limit, all $7,000 of the gross pay was subject to the OASDI FICA tax. Viewed another way, in 1937, the most an employee could have withheld from her pay was $30 ($3,000 x .01), while in 2007, the maximum amount for OASDI had grown to $6,045 ($97,500 x .062). ................
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