Question

Marty's friend Tom makes and hourly wage of $15.00 per hour. Using that there are 40 hours in a standard work week, there are 52 weeks in a year, Social Security Tax is $6.20 for every $100 earned, Medicare Tax is $1.45 for every $100 earned, and the following income tax designations, calculate the following (round your answers to the nearest penny if needed):
a. Tom's annual income is:_______
b. Tom's annual social security tax is:_______
c. Tom's annual medicare tax is:______

Answer 1

Answer:

a. annual income = $31,200

b. Social Security tax  = $1,934.40

c. Medicare =  $452.40

Step-by-step explanation:

40 hours in a week

52 weeks in a year

Tom makes $15 / hour

In a year, the

a. annual income = 15*40*52 = 31200

b. Social Security tax = 31200 * 0.062 = 1934.40

c. Medicare = 31200 * 0.0145 = 452.40