Question

You pay 5.65% on the first 110,000 of income and 1.45% in excess of $110,000. Calculate the FICA tax for an employee who earns 60,000 a year

Answer 1

Answer:

The FICA tax for an employee who earns 60,000 a year is $ 3,390.

Step-by-step explanation:

Given that you pay 5.65% on the first 110,000 of income and 1.45% in excess of $ 110,000, to calculate the FICA tax for an employee who earns 60,000 a year the following calculation must be performed:

60,000 <110,000

60,000 x 0.0565 = X

3,390 = X

Therefore, the FICA tax for an employee who earns 60,000 a year is $ 3,390.