Social Security tax is withheld from your wages at a rate of 6.2%, but only up to a yearly wage limit set by the Social Security Administration.
If you work for more than one employer during the year, each employer may withhold Social Security tax without knowing how much another employer has already withheld. As a result, too much Social Security tax may be taken out of your pay.
When this happens, you may be eligible to claim a credit for the excess amount on your federal tax return.
Who Can Claim Excess Social Security Tax?
You can claim excess Social Security tax if:
- You had two or more employers during the tax year, and
- Your total wages exceeded the annual Social Security wage base limit, and
- More Social Security tax was withheld than the maximum allowed for the year.
If you're filing a joint return, this rule applies separately to each spouse. One spouse's wages and withholding cannot be combined with the other spouse's wages when determining whether there is excess Social Security tax.
If you do not meet these requirements but the software is calculating excess Social Security tax, review your W-2 entries carefully for errors.
Social Security Wage Base Limits
The maximum Social Security tax you should have withheld depends on the tax year:
| Tax Year | Wage Base Limit | Maximum Social Security Tax Withheld |
|---|---|---|
| 2026 | $184,500 | $11,439.00 |
| 2025 | $176,100 | $10,918.20 |
| 2024 | $168,600 | $10,453.20 |
| 2023 | $160,200 | $9,932.40 |
| 2022 | $147,000 | $9,114.00 |
For example, if multiple employers withheld more than the maximum allowed amount for your tax year, the excess may be claimed as a credit on your return.
How the Credit Is Reported
If you qualify, our software automatically calculates the excess Social Security tax based on the information entered from your W-2 forms.
The credit is reported on:
- Schedule 3 (Form 1040), line 11, and
- Carried to Form 1040 with your other payments and refundable credits.
No additional calculations are normally required.
Check Your W-2 Entries
If the program is showing excess Social Security tax and you do not believe it is correct, review the following:
- The Social Security tax withheld entered from Box 4 of each W-2.
- The Social Security wages entered from Box 3.
- If filing jointly, verify that each W-2 is assigned to the correct spouse.
Incorrect W-2 entries are one of the most common reasons an excess Social Security credit appears unexpectedly.
What If You Only Had One Employer?
If you worked for only one employer during the year and too much Social Security tax was withheld, you generally cannot claim the excess on your tax return.
Instead, your employer must refund the overwithheld amount directly to you. If the error is discovered before you file your return, contact your employer and request a corrected W-2 if necessary.
Additional Information
For more details about withholding, credits, and tax payments, see IRS Publication 505, Tax Withholding and Estimated Tax.