An employee earns $8,500 for the current period. The cumulative earnings of previous pay periods is $100,900. Social security tax applies to the first $128,400 of employee earnings. Calculate the total and individual amounts to be withheld for social security (6.2%), Medicare (1.45%) and federal income tax (15%).

What will be an ideal response?


??
FICA-Social security* =$ 527.00
FICA-Medicare =137.03
Federal income tax =  1,417.50
?$2,081.53

*$8,500 × .062 =$527

Business

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