A person making $20,000 pays the same US federal payroll tax rate as a person making $100,000 (7.65% in 2010, 5.65% in 2011)
Correct me if I'm wrong, but I thought the federal payroll tax was about 15%. Your employer is only allowed to list 7.65% on your pay stub/W2, but that's a different thing.
That doesn't mean much. First, if employers didn't pay it, they could increase compensation (either directly or via health benefits). Second, freelancers and temp workers pay both sides.
Correct me if I'm wrong, but I thought the federal payroll tax was about 15%. Your employer is only allowed to list 7.65% on your pay stub/W2, but that's a different thing.