Problema Solution
Fandango Furniture Manufacturing, Inc. has 40 employees on the assembly line, each with gross earnings of $325 per week. What are the total combined social security and Medicare taxes that should be withheld from the employees’ paychecks each week?
Using your answers from the previous question, what is the employer’s share of just the social security taxes for the first quarter of the year for these employees?
Answer provided by our tutors
Fandango Furniture Manufacturing, Inc. has 40 employees on the assembly line, each with gross earnings of $325 per week. [ The total combined social security and Medicare taxes that should be withheld from the employees? paychecks each week will be as follows : $325 x 40 = $13,000 (gross earnings /week) $13,000 x 0.062 = $806 (total combined social security) $13,000 x 0.0145 = $188.50 (total medicare taxes) therefore the total amount that shall be withheld from each employees? paychecks each week is $806 + $188.50 = $994.50 / 40 = $24.86 (answer). ]