payroll tax
noun
1
: a tax that is paid by a company and that is based on the amount of money that the company spends paying all of its employees
2
: money that is taken from a person's pay and given directly to the government as income tax
Examples of payroll tax in a Sentence
Recent Examples on the Web
Social Security is funded by a dedicated payroll tax, but the gap between what goes out in benefits and what comes in through taxes is growing.
—
Eleanor Pringle, Fortune, 28 July 2025
Also, eliminating the maximum income that's taxable for payroll tax and reducing the benefits paid on higher earnings are also among steps Congress could take to save money, the CRFB said.
—Medora Lee, USA Today, 25 July 2025
The benefit will be funded through a statewide insurance program, paid for by a new payroll tax, with employers covering at least half the cost.
—Patrick Knight, Twin Cities, 22 July 2025
These loans are funded through a nationwide 1% payroll tax, split evenly between employers and employees.
—Susanne Schindler, The Conversation, 7 July 2025
See All Example Sentences for payroll tax
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Eleanor Pringle, Fortune, 28 July 2025
Also, eliminating the maximum income that's taxable for payroll tax and reducing the benefits paid on higher earnings are also among steps Congress could take to save money, the CRFB said.
—Medora Lee, USA Today, 25 July 2025
The benefit will be funded through a statewide insurance program, paid for by a new payroll tax, with employers covering at least half the cost.
—Patrick Knight, Twin Cities, 22 July 2025
These loans are funded through a nationwide 1% payroll tax, split evenly between employers and employees.
—Susanne Schindler, The Conversation, 7 July 2025
See All Example Sentences for payroll tax
Cite this Entry
“Payroll tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/payroll%20tax. Accessed 4 Aug. 2025.
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