Find the Social Security tax (6.2%), Medicare tax (1.45%), and state disability insurance deduction (1%) for the employee.
Assume the employee is under the FICA and SDI maximums at the end of the current pay period and assume that
time-and-a-half is paid for any overtime in a 40-hour week. Round to the nearest cent if needed.
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Question

Quizplus · Accepted Answer

To find the Social Security tax, we multiply the gross pay by 6.2%, which is $1925 * 0.062 = $119.35. 
To find the Medicare tax, we multiply the gross pay by 1.45%, which is $1925 * 0.0145 = $27.91. 
To find the state disability insurance deduction, we multiply the gross pay by 1%, which is $1925 * 0.01 = $19.25. 
Therefore, the Social Security tax is $119.35, the Medicare tax is $27.91, and the state disability insurance deduction is $19.25. Rounded to the nearest cent, these values are $119.34, $27.91, and $19.25, respectively. The closest answer choice is C- $22.34, $5.23, $3.60.

Find the Social Security Tax (6