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1 answer:
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Answer:
$3066
Step-by-step explanation:
We have been given that employees in 2012 paid 4.2% of their gross wages toward social security (FICA tax), while employers paid another 6.2%. We are asked to find the amount paid by an employee earning $73,000 per year toward social security.
To find the amount paid by an employee with annual gross earnings of $73,000, we need to find 4.2% of $73,000.
Therefore, the employee will pay $3066 toward social security out of their gross wages.