Question

A high school student working part-time as a cook had a gross income of $7650 last year. If his federal tax rate was 10% and his state tax rate was 5.3%, what was the amount withheld from his pay last year in federal tax, state tax, and FICA combined?

Answer 1

What percentage of a paycheck goes to FICA?

Answer 2

6.2%

Answer 3

All are deducted from the gross pay, right?

Answer 4

yes

Answer 5

FICA is normally 6.2% of the employee's paycheck. Was FICA lowered to 4.2% of the employee's paycheck for 2011 and 2012?

Answer 6

it doesnt say which one but the other questions with FICA have been with 6.2%

Answer 7

Ok, let's go with that.
If FICA is 6.2%, then the three amounts you need to deduct are
10% + 5.3% + 6.2%, right?

Answer 8

yes

Answer 9

Now add all three percentages together. What do you get?

Answer 10

21.5%?

Answer 11

ive been through this problem multiple times but i cant get the math right. none of the answers are on this that i get

Answer 12

Correct.
The withholding is 21.5% of the salary. Since the salary was $7650, the withholding is 21.5% of $7650.
Can you calculate what 21.5% of $7650 is?

Answer 13

1 644.75

Answer 14

correct

Answer 15

Is that one of the choices?

Answer 16

Nope

Answer 17

the answers are
A 405.45
B 765.00
C 1755.68
D 1170.45

Answer 18

Is it possible FICA is 15.3% of the gross pay, half taken out of the employee paycheck and half paid by the employer?

Answer 19

perhaps

Answer 20

the answer is C. which i got wrong. thanks anyways

Answer 21

Ok, here it is:
Federal income tax: 10%
State income tax: 5.3%
FICA, social security: 6.2%
FICA, medicare: 1.45%
Now add all percentages and do it again.

Answer 22

FICA is social security at 6.2% plus medicare at 1.45%. Added together this is 7.65%.
Twice this is 15.3% which is paid half by the employer and half by the employee.

Answer 23

The total percentage is 22.95%.
22.95% of $7650 is $1755.675, or $1755.68