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7 August, 02:25

An employee earned $44,200 working for an employer in the current year. The current rate for FICA Social Security is 6.2% payable on earnings up to $128,400 maximum per year and the rate for FICA Medicare 1.45%. The employer's total FICA payroll tax for this employee is: a. $6,762.60. b. $3,381.30. c. $2,740.40. d. $640.90. e. $0

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  1. 7 August, 02:33
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    Answer: D $640.90

    Explanation: Total earning in the current year is $44,200.

    To deduct FICA Social Security, the employee must earn at lease $128,400. This is not applicable.

    The employee will only be charged FICA Medicare of 1.45%.

    $44,200 * 1.45% = $640.90
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