Michele Baker\'s cumulative wages for the year not including the current pay per
ID: 2562247 • Letter: M
Question
Michele Baker's cumulative wages for the year not including the current pay period total $98,500. Calculate the amount of Social Security and Medicare to be withheld from Baker's current gross pay of $3,500.
Employee Rates: SS= 6.2% Medicare 1.45%
The required Employee deducttion for Social Secuity (SS) is 6.2% OASDI (Old Age Surviros and Disability Insurance) of wages earned, to a maximum of $97,500 and 1.45% HI (Hospital Insurance, commonly known as "Medicare" (M) for all earnings.
Employer Rates: SS= 12.4%, Medicare 2.9%
The required Employer deducttion for Social Secuity (SS) is 12.4% OASDI (Old Age Surviros and Disability Insurance) of wages earned, to a maximum of $97,500 and 2.9% HI (Hospital Insurance, commonly known as "Medicare" (M) for all earnings.
Explanation / Answer
Social Secuity 0 Medicare 50.75 =3500*1.45%