There are two parts to FICA:
A)old age benefits and workers' compensation.
B)retirement and income tax withholdings.
C)OASDI and Medicare.
D)All of these answers are correct.

Question

Quizplus · Accepted Answer

FICA is divided into two taxes: OASDI (Old Age, Survivors, and Disability Insurance) and Medicare. OASDI provides retirement, disability, and survivor benefits, while Medicare provides medical insurance for those over 65 and some individuals with disabilities. Option A is incorrect as workers' compensation is a separate program. Option B is incorrect as retirement is included under OASDI and income tax withholdings are not a part of FICA.

There Are Two Parts to FICA