Getting $640 Tax Credit for Excess Social Security Withholding After Exceeding $168,600 Wage Limit in 2024

The OCR shows you have $640 in excess Social Security withholding for Denise, which occurs when Social Security taxes are collected on wages beyond the $168,600 annual limit. This excess withholding will automatically be credited back to you on your Form 1040, either reducing your tax liability or increasing your refund. The key details from the message are: - The $168,600 wage cap for Social Security tax in 2024 - The $640 excess amount being credited back - No maximum limit exists for Medicare withholding This means your employer(s) continued withholding Social Security tax after Denise's wages exceeded $168,600. Since you've paid more than the maximum required Social Security tax (6.2% of $168,600 = $10,453), you're entitled to get that $640 overpayment back through your tax return. The system has automatically identified this overpayment and will apply it as a credit in your favor.

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Did you work multiple jobs? This usually happens when you have more than one employer withholding SS tax

lol wish i made enough to hit the SS tax limit 😭

dont forget medicare tax doesnt have a limit tho! keeps going no matter how much u make

this happened to me last year! the credit showed up on line 13 of my 1040 iirc