effect of Medicare surtax on SE income

[M Norton]

When calculating compensation for a self-employed participant, we use the Schedule SE formula - multiplying by 92.35% and deducting 1/2 SE tax. Doesthe Medicare 0.9% surtax figure into that calculation and if so, how?

Thanks.

[Flyboyjohn]

No, the SE calc is designed to give the self-employed individual "credit" for the 1/2 of SS and Medicare taxes normally paid by the employer.

Since the new .9% is an addition to only the employee portion it doesn't impact the calculation.