Marie earns $80,000 as a sales manager for Household Books.How much Social Security and medicare tax does Marie have to pay for 2017?

Question

Quizplus · Accepted Answer

The Social Security tax rate is 6.2% and applies to wages up to $127,200 for the year 2017. Therefore, Marie would pay 6.2% of $80,000, which is $4,960. 
The Medicare tax rate is 1.45% and applies to all wages. Therefore, Marie would pay 1.45% of $80,000, which is $1,160. 
Adding both amounts gives a total of $6,120, which is the answer choice B.

Marie Earns $80,000 as a Sales Manager for Household Books