To determine the amount of that Mr. Benson needs to pay for his social security tax, we just have to multiply his gross pay, 789.18 with the decimal equivalent for the percent, 6.2%. amount for social security tax = 789.18 x (0.062) = 48.93 Therefore, Mr. Benson needs to pay approximately 48.93 for social security.
Hello! Annually means once a year so if it is compounded annually then it is compounded only once per year, meaning interest is added to principal only 1 time per year.
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