2008 Social Security taxes

• You and your employer each pay 6.2 percent
• If you are self-employed, you pay 12.4 percent
• You do not pay Social Security taxes on any earnings above $102,000

2008 Medicare taxes

• You and your employer each pay 1.45 percent
• If you are self-employed, you pay 2.9 percent
• Medicare taxes are paid on all of your earnings; there is no limit

Work credits in 2008

• For each $1,050 you earn, you receive one Social Security “credit,” up to four per year
• Most people need 40 credits to be eligible for retirement benefits
• Younger people need fewer credits to qualify for disability and survivors benefits

Average 2008 monthly Social Security benefits

• Retired worker: $1,079
• Retired couple: $1,761
• Disabled worker: $1,004
• Disabled worker with a spouse and child: $1,690
• Widow or widower: $1,041
• Young widow or widower with two children: $2,243

2008 monthly SSI payment rates (does not include state supplement, if any)

• $637 for an individual
• $956 for a couple