The Social Security tax for 2017 is 12.4%. Self-employed pays the full 12.4%. If you have are employed, your employer pays 6.2% of your Social Security tax and You pay 6.2%. That deduction continues all year UNLESS you make more than $127,200. At that point your Social Security deduction would cease for the year. Think a minute. People who make $254,400/year do not actually pay a 6.2% rate - their annual Social Security tax rate would be only 3.1%. If the cap was higher (say $250,000), richer workers would be paying closer to the same tax rate we all pay. That would extend and expand Social Security without raising everyone's taxes. That is what Bernie Sanders has suggested doing and I agree. The 1% billionaires satisfy the whole year's deduction in the first hour of each new year. The other very rich have to work a week or two of the year to pay their yearly Social Security taxes. Most of us pay the whole year - we don't make enough to reach the point at which we no longer have to pay that year. Raise the cap - the point at which Social Security taxes for the year are paid and deductions stop to $250,000 instead of stopping deductions at $127,200.