I am not familiar with the rules of the contribution. My interpretation of the question tells me that the taxes are based on the total gross employee income, which comes to
(14*640+3*720)*13 weeks (approx. unless leap year)
= $ 144560
Based on the given tax rates, the taxes are
$ 144560*(0.062+0.0145)
= 11058.84
Family Flowers employs 17 people, of whom 14 earn gross pay of $640 each and 3 earn gross pay of $720 each on a weekly basis. What is the employer<s share of total social security and Medicare taxes for the first quarter of the year? The tax rate for security is 6.2% and the Medicare rate is 1.45%
2 answers
The weekly payroll of Abkar Hardware includes 19 employees who earn $280. How much is the employer's share of total social security and Medicare taxes for the first quarter of the year?
1 answer