FICA taxes consist of Social Security and Medicare taxes. The rates are as follows:
- Social Security tax rate: 6.2% on the first $142,800 of income.
- Medicare tax rate: 1.45% on all income.
Given that the taxpayer earns $127,000 and is not self-employed, we can calculate the FICA taxes as follows:
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Social Security Tax Calculation: \[ \text{Social Security Tax} = 127,000 \times 0.062 = 7,874 \]
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Medicare Tax Calculation: \[ \text{Medicare Tax} = 127,000 \times 0.0145 = 1,836.50 \]
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Total FICA Taxes: \[ \text{Total FICA Taxes} = \text{Social Security Tax} + \text{Medicare Tax} = 7,874 + 1,836.50 = 9,710.50 \]
Thus, the taxpayer's total FICA taxes are $9,710.50.