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004 Online Fund Concepts CLONCH (Sp18) MyLa ork: Section 8.2 Homework Score: 0 o

ID: 3169876 • Letter: 0

Question

004 Online Fund Concepts CLONCH (Sp18) MyLa ork: Section 8.2 Homework Score: 0 of 1 pt 3 of 51 HW Scor Course Course 8.2.19 MLP C Use the 2012 FICA tax rates, shown below, to answer the following questiorn. If you are not self-employed and earn $113,000, what are your FICA taxes? Employee's Rates Matching Rates Paid by the Self.Employed Rates 5 65% on first S1 10,000 7.65% on first S1 10,000 paid in 133% on first $110,000 of Employer wages 1.45% of wages paid in excess net profits Study F of income 2.9% of net profits in excess of $110,000 1.45% of income in of $110,000 excess of $110,000 FICA taxes are s (Type an integer or a decimal. Round to the nearest cent as needed) chapte Stude Tools Purcha Annou All parts showing Type here to search

Explanation / Answer

applying FICA tax rates of employees

5.65% on 110,000 = $ 6215

excess amount = 113000 - 110000 = $ 3000

.0145 * 3000 = $ 43.5

so, total tax = 6215 + 43.5

= $ 6258.5

FICA taxes are $ 6258.5