help...Brenna had a gross income of $2158.22 during each pay period in 2010. If she got paid monthly, how much of her pay was deducted for FICA in 2010?

Question

shane_b · Answer

Well, the current rate for FICA (medicare and social security) is 7.65%.

Can you at least calculate her total yearly income?

anonymous · Answer

2158.22 * 12/365 ?

shane_b · Answer

Her gross annual income will just be $$2158.22*12=25898.64$$Since the question doesn't mention pre-tax income you can simple calculate 7.65% of that value to figure out her withholdings...noting that she hasn't reached the cap.

anonymous · Answer

so..divide 25898.64/7.65

shane_b · Answer

Close :)  You know her total gross annual income is 25898.64 and you need to calculate 7.65% of that.  Therefore, you need to do this:$$25898.64\frac{7.65}{100}=$1981.24596$$ Since you can't split pennies that will have to be rounded down (or up...not sure about that part).

shane_b · Answer

Of course, I'm using 7.65% for the calculation...but I'm not sure what the rate was in 2010 so hopefully you have that.