Problema Solution
Dan Dietrich is an executive with Coronado Distributors. His gross earnings are $9,850 per month. Assume the government withholds 6.2% for Social Security and 1.45% for Medicare. What are the combined withholding for Social Security and Medicare for Dan's January paycheck?
Answer provided by our tutors
Earnings per month = $9850
Total withholding %age = 6.2% + 1.45% = 7.65%
Tital withholding = 7.65% of 9850 = 753.525